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Occupational Opportunities for the Next Decade

Sunday, July 25th, 2010

In my June 27 blog, Payoffs of a College Education, I discussed that the Department of Labor’s Bureau of Labor Statistics (BLS) 2010 Occupational Outlook Handbook portrays particularly strong growth in jobs for college graduates. These jobs will grow at a faster rate (15% versus 10%) than those that typically require less education and yield higher weekly and lifetime earnings and greater job security. In fact, every step up the educational ladder, from high school diploma, through some college, bachelor degree and professional degree (with a small exception for PhDs), tends to improve virtually every aspect of a person’s career path.

But the level of educational obtainment is a pretty high-level view of the job market. Although it does emphasize the value of graduating from college, it does not, in and of itself, provide much guidance as to which occupations offer the best employment opportunities, the highest earnings potential and the best opportunities for advancement.

Tomorrow’s Largest Growth Occupations

In 2006 (the study’s benchmark year), about half of all jobs (see Chart 3 of the handbook) in college-level occupations were concentrated in three broad categories—education (21%), healthcare (14%) and computers (13%). Adding two others, management (12%) and business and financial operations (11%) covers more than 70% of all college-level jobs.

A nice start, but still too macro a view to provide meaningful help in career planning. Medical jobs, for example, run the gamut from physician assistants to surgeons. Management jobs run from education administrators to CEOs. Jobs within each category have very different educational requirements (from bachelor or below through post-graduate) and are likely to produce vastly differing numbers of total job openings through 2018 (from 66,000 physician assistants to 1 million registered nurses) and growth rates (2% for CEOs to 50% or more for some IT jobs).

The tables supporting the Bureau’s conclusions provide details for multiple occupations in each of these categories. As one would expect, the greatest number of projected openings are concentrated in the three largest college-level job categories: education, healthcare and computers. The first two categories share a few similarities.

Both, for example, are:

  • Being driven largely by population growth and demographic trends;
  • Characterized by especially strong growth in one very big class of occupations;
  • Consist of a large number of moderate and relatively low-paying jobs, and more modest numbers of higher-paying (especially in healthcare) jobs that typically require a minimum of four years of graduate school.

Health care growth, for example, is driven overwhelmingly by the growth in need for RNs, which is projected to grow at a 24% rate and account for almost two-thirds of all listed healthcare openings. Although there will be big needs for teachers at all levels, the demand for K-2 teachers is growing at only a 10.8% rate, while that for post-secondary teachers (and some small specialty teachers) is tracking at 23%.

IT Professions

IT-related job trends are very different. First, although the handbook profiles only five distinct occupations (out of ten that BLS specifically tracks), all four of the specialized, high-skill occupations (network systems and data communications analysts, computer software engineers, systems analysts, and network and systems administrators) are slated for hyper-growth through 2018, at rates ranging from 28% to 53%.

These jobs, most of which require “only” bachelor’s degrees, also provide some of the highest salaries—more than twice the median for all occupations. Many, even during the depths of the recession, are already characterized by strong levels of college hiring, rising salaries and shortages of qualified applicants at all levels of experience.

Moreover, the need for IT skills is being driven not by demographics, but by the rapid, increasingly critical need to incorporate IT into virtually every business, every process and every “machine” (from PDAs and televisions through office buildings and jumbo jets). And this is just the start. Business decisions increasingly require real-time analytics and seamless, real-time collaboration tools. The Internet, meanwhile, is creating new businesses and new job requirements every minute of every day.

This being said, not all IT jobs are created equal. As I mentioned, four of the five listed categories are growing at hyper-rates. The number of openings for the fifth—computer programmers—is actually declining. This is not at all surprising. The demand for the lowest skill IT occupation, data entry clerks, has been plummeting for years. BLS now anticipates similar (albeit slower) declines in the number of openings for computer programmers. These positions, as I’ve discussed in a number of previous blogs, will be increasingly replaced—and compensation reduced—by a combination of:

  • Technology, including more automated development and test processes, software reuse and tools that can be used by non-IT professionals; and by the
  • Rapid growth in the availability and use of lower-priced, offshore IT professionals.

Moreover, while these forces are initially felt in relatively low-skill IT professions, they are already beginning to be felt in ever more demanding occupations. Increasingly sophisticated, policy-based IT management software, remote diagnostic tools and a growing trend toward the delivery of IT as an outsourced service will slash the number of people required to maintain an application, manage a given number of servers or support a given number of users. Moreover, as I have discussed in previous blogs, the number of offshore IT professionals is exploding, their education and training is getting much better and they are moving rapidly up the IT value chain, providing increasingly sophisticated services—including services that integrate IT skills into other college-level occupations.

So, while highly demanding technical specialties may offer promising opportunities for the next decade, IT professionals, like sharks, must continually move forward—or they will die. They must continually evolve their skills to address the most promising career opportunities. Most importantly, they must learn to apply these skills in ways that deliver not just “IT value”, but true “business value” to their company’s line-of-business constituents and especially their customers.

But as the number of opportunities for dedicated IT professionals is large and rapidly growing, this does not even scratch the surface of the need for IT skills in tomorrow’s job market. Virtually every college-level job in America is becoming, to one extent or another, an IT job.

This is not to say they must develop, manage and maintain their company’s IT infrastructure or applications. They must, however, be able to integrate a broad range of increasingly sophisticated IT tools into every aspect of their work. And I don’t mean that people must use word processing and email. Those are yesterday’s skills. Today’s professionals must also be fluent in Internet search, in computer-based collaboration and in social networking. Tomorrow’s professionals must seamlessly incorporate sophisticated information access and analytics tools into their day-to-day tasks and learn dozens of new tools and techniques that most of us can barely identify.

Over the next decade, virtually every professional will have to be an IT professional, as well as a professional in his or her own specific field.

Cisco’s Collaboration Services Incubation Model

Sunday, June 6th, 2010

Cisco is committed to delivering the vast majority of its value-added services through partners. It has traditionally kept its own consulting units very small and used them primarily to support its partners. The company, however, has dramatically expanded its push into dozens of new, increasingly complex and leading-edge markets. It is, for example, currently targeting about 40 “market adjacencies”—new segments that, while complementary to its core networking markets, have the potential of growing into fundamentally new, high-growth markets.

Some of these adjacencies, such as Telepresence and Smart Cities, are relatively new market opportunities. Others, such as virtualized servers and collaboration software, are well established markets that are already occupied by entrenched competitors. The vast majority of these adjacencies, however, share some common needs. Most, for example, require extensive services, including:

  • Evangelism, both around the value of the technologies themselves and also around the value that Cisco—a traditionally self-confessed “box pusher”—can deliver relative to other providers;
  • Consulting services, around everything from identifying and quantifying the business value of the solution, to architecting and integrating it and managing organizational change; and
  • Managed services to implement, operate, manage and pay for these solutions, including delivery of software-as-a-service and utility-based pricing.

But as important as it is to provide these services, Cisco had to manage them within the context of a commitment that it made from the earliest days of the company—to establish deep partnerships with, create markets for and avoid competing with its channel partners. As I discussed in a 2008 report, “Cisco Services 3.0—Transforming Product Support into a Competitive Differentiator”, the company anticipated these expanded services needs and proactively developed a strategy for addressing them. Its strategy for building and delivering services around its Collaboration offerings provide an example of this strategy in action.

Incubating New Service Offerings

As I discussed in my May 31 blog, Cisco has developed a comprehensive line of services to support its collaboration offerings—services that range from business case development though architecture design, governance and change management. Such services, however, do not spring fully formed from John Chambers’ brain. They are often:

  • Conceived, tested and tuned within the Cisco organization, where it is often the first to use its own products;
  • Incubated, catalogued and formalized by the company’s own consulting organizations; and then
  • Rolled out through, and gradually scaled across partners

Let’s begin with a brief overview of the role that two of Cisco’s in-house consulting organizations—Internet Business Services Group (IBSG) and Advanced Services (AS) play in incubating, maturing and programitizing Cisco’s services in general, and its collaboration services in particular. Then I’ll examine how Cisco’s channels organization rolls these services out through its partner channel.

Cisco has continually pioneered the use of networks in transforming organizations and redefining business models, typically beginning these experiments within its own company. A decade ago, corporate customers asked how they could use the Internet to transform their own organizations. Five years ago, they asked how to use Internet-based collaboration tools to transform their business processes. Cisco responded by redefining the company into a living case study as to how to use the Internet as the foundational infrastructure for transforming the company’s organizational and management models, creating a flat, globally distributed, agile organization that distributes decision making down to virtual teams that span the globe. (See my characterization of this transformation and its results in my January 24 and January 31 blogs.)

These in-house implementations provide invaluable learning experiences, proof points and the foundations for the methods that Cisco uses in promoting and implementing its technologies and architectures in thousands of customer organizations worldwide. The process begins with the company’s Internet Business Solutions Group (IBSG), which helps drive these in-house implementations and then applies Cisco’s learnings to a handful of Cisco’s largest, most strategic customers. This group, which consists of only about 200 thought-leader consultants, works with customers’ C-level executives to:

  • Identify promising opportunities for business and business process innovation within the customer’s specific industry and organization;
  • Create technology roadmaps that will enable business transformation; and
  • Develop business cases required to achieve buy-in from business and technology groups.

These consultants certainly provide great value to customers by identifying and creating technology roadmaps for achieving strategic advantage. They provide even greater value to Cisco, as by identifying and leading development of innovative network-based processes that have the potential of opening new markets, by creating the foundations for the business cases and process methodologies that Cisco will leverage across multiple customers and by creating long-term strategic relationships with some of the company’s most important customers. This group, however, is not intended to be a profit center (Cisco does not even bill for its service) and is not intended to scale to the needs of multiple customers (it is not likely to grow to more than a few hundred consultants). Its ultimate value is in creating new business opportunities and incubating new services that will be mined by the entire Cisco organization.

Bringing New Services to Market

The company’s Advanced Services (AS) team is the next link in Cisco’s commercialization chain. This organization is responsible for applying the learnings, business cases and methods that were developed in Cisco’s in-house and IBGS-led lighthouse implementations, out to broader range of “pre-chasm” customers. This group, which consists of about 3,000 consultants, has four primary responsibilities:

  1. Help large enterprise and service provider customers develop business cases and ROI justifications forand especially architect, implement, integrate and develop governance and change management models forpre-chasm solutions;
  2. Test, fill out, codify and bulletproof methods and best practice models for all of the processes involved in the previous bullet; and, once the solutions, methods and best practice models methods are ready for broad-market implementation;
  3. Transfer these models to, and continually update them for, Cisco’s Technical Services team (which catalogs all learnings into Cisco Methods and Customer Intelligence Platform support database) and Cisco’s partner organization; and
  4. Support channel partners’ efforts to sell, architect and manage implementations of these technologies into broader markets (see next week’s blog).

Although the 3,000 consultant AS team is tiny by the standards of IBM, HP and Accenture, it is not intended to perform the same role as these companies’ organizations. AS, unlike its IBSG sibling, is a profit center. But unlike most other vendor consulting organizations, it is not intended to develop ongoing practices around, or generate long-term revenue streams from specific technologies. It is intended to facilitate and ensure the successful implementation and adoption of new Cisco solutions within a relative handful—about 500 in total—large, “transformational” customers and to prepare these solutions for high-volume sales through Cisco’s channels. Once these jobs are completed, the AS staff dedicated to these solutions is reduced and consultants migrate to new technologies.

Given AS’s hybrid role as solution evangelist and system integrator, consultants must have deep knowledge of both the technologies and of the business objectives and business processes needs of their clients. The vast majority of these 3,000 consultants have deep skills in one or more of Cisco’s pre-chasm technologies, such as those related to collaboration, virtualized data centers and borderless networks. About half have deep understanding of the needs of specific industries in which their technologies are particularly applicable (such as healthcare, financial services and education for its communications technologies) and about half are field-based, working with specific customers on long-term projects. (Most of the others shift among individual project-based engagements with many customers.)

The value that such consultants can provide to customers is well understood. But, to truly understand the value these consulting teams provide to Cisco, one must also understand the value they provide to Cisco’s channel partners.

The Role of Value-Added Services in Building Cisco’s Collaboration Market Presence

Monday, May 31st, 2010

Cisco is on a self-described mission to transform itself from a box pusher, into a solutions vendor and trusted architectural adviser. Although its goal is certainly ambitious, such a transformation requires a big dose of high-value services—including many of the type of services that Cisco repeatedly emphasizes are the domains of its partners, rather than of Cisco.

Just how far will Cisco go in creating such high-value services and what role will they play in the company’s value propositions? Just as importantly, how will the company reconcile its rapidly growing value-added consulting line-up with its long-term commitments to delivering the vast majority of its services through partners?

The rapid growth the company’s Collaboration Services portfolio provides a valuable window into Cisco’s entire value-added services strategy. This article briefly profiles the role of services in Cisco’s collaboration value proposition and the range of collaboration consulting and hosting services it currently offers. Two additional articles will follow:

  • One that examines the composition, growth and unique roles of Cisco’s two consulting organizations in bringing new services to market.
  • A third that examines the role of these consulting groups in rolling new solutions out through and in driving success of Cisco’s channel partners.

The Critical Need for Collaboration Services

Collaboration is one of the largest, most strategic and fastest growing of Cisco’s 40 “market adjacency” opportunities, with its collaboration product line, consisting of products ranging from instant messaging and mail though Web conferences and Telepresence-based video, growing at about 25% per year. While Cisco’s enterprise customers are rushing to embrace collaboration solutions as a means of better engaging with customers and improving their own organizational effectiveness and agility, few of these customers are currently prepared to design or manage their own implementations. Fewer still are able to transform their processes and organizational cultures in ways that will allow them to derive optimal value from these solutions. A recent Cisco-commissioned study by the IESE Business School, for example, found that:

  • Only one in seven companies has a formal process for managing deployment of social networking tools;
  • One in five have policies in place for managing social networking; and that
  • IT organizations are directly involved in only about one in ten implementations.

Business value assessments of collaboration implementations are often cursory, organizational ownership responsibilities are vague and integration with established enterprise tools and processes are limited And this does not even begin to get into the corporate culture and organizational model changes that are required to transform traditional command-and-control companies into agile, collaborative organizations.

Effective assessment, preparation, implementation and management, not to speak of effective use of these new tools, requires a broad range of expert services. However, as with most new IT and communications technologies, such skills are in short supply. Vendors who want to create a market for such tools must often develop and initially deliver such services themselves. Cisco is no exception.

Cisco’s Collaboration Services Portfolio

Cisco recognizes that customers need help through the entire collaboration planning and implementation process; from justifying business value and ROI, to understanding what tools are necessary and how they integrate with each other and into legacy environments, to planning organizational adoption and support and often, to managing the entire process.

The company has, therefore, introduced a services-led process to help customers plan for and address the business, as well as architectural and technical issues entailed in an enterprise-wide collaboration implementation. This five-step service-based process entails:

  1. Discovery Sessions and Collaboration Index, a Telepresence-delivered session designed to help stakeholders envision and prioritize the business benefits of different forms of collaboration within their specific organization and industry;
  2. Readiness Assessment, an online self-assessment tool that evaluates the organization’s current collaboration capabilities, assesses and suggests remediation measures for its network infrastructure, suggests program management and governance models and evaluates customer readiness;
  3. Collaboration Solution Design, which designs Cisco/Microsoft –based collaboration solutions that can be integrated with the organization’s current collaboration tools;
  4. Collaboration Infrastructure Deployment, which includes architecting and implementing an in-house solution or designing and planning a SaaS implementation; and
  5. Collaboration Strategy and Architecture, which develops detailed business and use cases, identifies the highest-value applications and users, outlines business process and cultural changes that will be required and defines a deployment program.

Cisco’s Services Collaboration Methodology, meanwhile, helps customer’s identify implementation and adoption challenges, suggests and helps them set up governance and incentive structures and define and implement required business process changes.

Cisco will then use its 800 Advanced Services collaboration specialists to design and implement the customer’s solution, train its staff to manage the system and support the ongoing operation with its 1,000 collaboration technical services specialists. (My June 6 blog will have more information.)

New Delivery, Payment and Optimization Models

Although the majority of Cisco collaboration solutions are implemented at the customer’s site, few IT organizations, as mentioned above, have the time, the people or the experience required to manage today’s sophisticated, mission-critical unified communications environments. Nor, in the current era of tight corporate budgets, can all corporations afford or justify paying for all of this out of increasingly tight capital budgets. Cisco, therefore, now offers a broad range of deployment and payment options. It can, for example, Build, Operate and Transfer (BOT) the system to the customer or deliver its collaboration software either as a managed service, or as software-as-a-service. It also now offers a broad range of payment options, including utility-based pricing.

Since Cisco initially expected these alternate delivery models to be attractive primarily to mid-sized companies, it designed them to be offered through third-party partners (see my upcoming June 13 blog). Much to its surprise, however, a rapidly growing percentage of large enterprise customers are also looking for these delivery options and some are insisting that Cisco deliver such services itself.

Cisco’s large, enterprise collaboration customers are also demanding that Cisco provide more than a new level of solutions and architectural consulting services and new, more flexible delivery and pricing options. They also increasingly require that Cisco tailor these solutions to the needs of their specific industry.

The company has been developing industry-specific sales skills over the last several years and has been rapidly expanding its industry-based services capabilities. It, for example, now has collaboration service specialists with deep focuses in industries including healthcare, financial services and education and now counts on highly specialized implementations in industries including pharmaceuticals, airlines, education and state governments for some of its highest-profile reference accounts. And, with Cisco services receiving customer satisfaction ratings of 4.6 out of 5.0, it appears that most are appreciative of the company’s increasingly sophisticated and specialized value-added services capabilities.

Addressing HP’s Industry Solutions Talent Gap

Sunday, May 23rd, 2010

This blog is an overview of the findings of my new report (hot link to offering page) in which I examine the talent requirements and recruitment and development efforts that will underlie HP’s effort to develop the type of more industry-focused value propositions and service-led go-to-market approaches discussed in my previous blog and report, both titled “HP Goes Vertical”.

My “HP Goes Vertical” blog, describes how Hewlett-Packard is likely to use EDS as a vehicle for gradually transforming the company’s entire enterprise IT operations:

  • From a horizontally-focused, engineering-centric IT products and solutions company;
  • To a consultative, industry-focused solutions company that helps customers envision and apply IT as a solution to pressing business needs.

This transformation will entail an equally momentous change in the company’s need for talent. It will have to retain tens of thousands of current employees, hire thousands of new people and radically change how it trains, goals and compensates these people. These changes are likely to forever alter a corporate culture that has been 44 years in the making.

Transformation to a Services-led Workforce

Selling horizontally-focused IT product and solutions requires a deep knowledge of product capabilities and competitive differentiators as well as how modernized, efficient IT infrastructures can improve performance and reduce costs. Designing, implementing and managing these solutions require not only deep technical skills and experience, but also change management and some level of cultural skills.

Although the sale, design, implementation and management of industry-specific business solutions certainly require similar capabilities, they require much more. While technical skills remain at the center of an IT solutions engagement, these skills tend to take a back seat to deep industry and business process skills in a business solutions engagement.

Rather than leading with product capabilities and TCO, business solutions account executives typically enter accounts with well-defined points-of-view as to how the customer’s specific industry is changing and the requirements for success relative to new market, competitive and extrinsic conditions. Just as importantly, they must be able to engage in these conversations not just with the types of IT executives with whom most IT companies are used to working, but also with senior business executives.

These industry-specific solutions perspectives, however, cannot stop at the sales level. They must be infused throughout the organizations, through people that architect, build and support industry-specific solutions, and through those who define and prioritize target markets and identify and communicate compelling value propositions.

A small percentage of HP’s senior sales people and consultants (especially in CME and financial services) had such capabilities. They are, however, in a small minority. EDS had more—although not to the level of competitors like IBM or Accenture.

Enterprise Services as HP’s Business Solutions Incubator

The combined HP/EDS company has already begun to marshal its best business solutions-based talent across all groups, identify those industry segments in which it has the strongest capabilities and most compelling value propositions, and identify and assign the best qualified salespeople to the most promising accounts in each of these segments.

Although HP has some such talent in all parts of its Enterprise Business Group (not to speak of in its Imaging and Printing and Personal Systems Groups), the vast majority of such capabilities reside in the company’s Enterprise Services team, which houses most of the EDS business and people.

Given this, I believe HP will use this organization—particularly its sales and service delivery arms—as the company’s Business Solutions Incubator. This incubator would:

  • Create, market, sell and support the company’s initial service-led industry solutions;
  • Identify and disseminate consistent, repeatable best practices that could be applied across all industry groups; and most importantly
  • Develop the people most capable of architecting, building, selling and supporting them and then, disseminate best practices and people out through other parts of the organization.

Among this group’s primary talent development responsibilities would be to:

  • Define the type of talent it will need—especially across its service sales and service delivery teams;
  • Identify current employees that are most capable of filling key roles and create accelerated development and mentorship programs to help develop their skills;
  • Determine the talent—both new graduates and people with experience in other companies—that it must recruit from the outside; and
  • Restructure sales and service delivery career paths, metrics, incentives and compensation structures to create a large supply of such people.

Once it begins to “incubate” a critical mass of such professionals within the company’s services sales and service delivery arms, it must rapidly disseminate this talent out through all parts of the HP Enterprise Business organization—initially Software and Technology Services and ultimately Hardware. Once the group is on track to accomplish all this for the company’s initially targeted industries, it would probably lead the process of identifying and prioritizing HP’s move into additional verticals and sub-verticals.

IBM’s Plan to Transform University IT Education And Spur Student Enthusiasm in the Process—Summary

Sunday, May 2nd, 2010

This week’s blog is an overview of the findings of my new report, “IBM’s Plan to Transform University IT Education: And Spur Student Enthusiasm in the Process” in which I examine how IBM’s university alliances have evolved to emphasize education in areas that transcend IT skills, and the long-term benefits that IBM is likely to derive from this approach.

IBM started its Academic Initiative in the 1950s when it helped universities create Information Science programs. It extended this program around specific IT and engineering skills and then, in 2003 added a Service Science, Management and Engineering (SSME) initiative.

This SSME initiative went way beyond the university efforts of IBM—as well as most other vendors—that traditionally focused on “hard” science and technology skills, such as around programming, database design, electrical engineering and physics. SSME, in contrast, emphasizes the needs for universities to encourage multi-disciplinary education and the need to develop T-shaped skills, which combine deep skills in one or more fields, plus a high-level understanding across many others. IBM worked with universities to help professors expand the focus of their own courses and departmental curricula and, most importantly, to coordinate curricula across multiple schools within a university.

It, for example, encouraged and helped schools refocus engineering education around real-world problems and train engineers to work in multi-disciplinary teams. It also challenged business schools to evolve their traditional focus on management of manufacturing companies (which now accounts for less than 20% of developed-country economies) to developing a similarly rigorous management science around services (which already account for about 60%). Some 40 universities have are going further, creating truly integrated curricula that cross traditionally sacrosanct boundaries—integrating courses across schools including management, information science, engineering and social science. A few have even begun offering new cross-school degree programs around SSME-related themes.

Smarter PlanetUsing SSME to Change the World

IBM’s huge, corporate-wide Smarter Planet initiative is, in many ways, the application of SSME to critical, real-world problems. SSME, after all, is an effort to create a science around decomposing and recomposing service-based processes, optimizing service supply chains and value chains and creating interdisciplinary research centers to design and optimize complex “service systems”—combinations of people, organizational networks and technologies that are aligned around a specific objective, such as designing and managing more livable cities, more effective healthcare systems and more efficient energy networks.

This effectively transforms SSME from an academic discipline into an instrument for addressing societal needs. It provides universities with the tools required to create education tracks and, eventually, degree programs around social goals—thereby attracting and making it easier for students who want to “change the world”. Moreover, IBM’s efforts to help shape educational curricula across Smarter Planet initiatives now transcends traditional information science, engineering and business schools to reach into areas including mathematics, architecture, healthcare management, public service, urban studies, and others.

Although such programs may not attract those students who are driven to become hedge fund managers or musicians, they do have the potential of attracting and providing “employment-ready” educations for millions of other students with similarly strong drives in other fields.

Engineering a Path to an IBM Job

Virtually all corporate university education programs share a common goal—to facilitate the education of students with the skills and perspective required to address the talent needs of the sponsor corporation, its customers and its partners. It’s easy to see the direct benefit that IBM can gain from programs that teach System z mainframe skills, that Intel can gain from multi-core architecture design programs or that Wal-Mart can derive from the University of Arkansas’ supply-chain optimization program.

But what benefits will IBM gain from encouraging universities to launch broad, non-vendor specific programs like SSME, healthcare management and transportation system design? The company’s logo isn’t on or necessarily associated with these programs, nor is IBM the first place most newly-minted graduates would look for a job to solve world hunger—unless, perhaps, you know about IBM’s Smarter Food program and its projects to increase agricultural yields, improve sustainability, reduce waste through the optimization of supply chains and improve food inspection processes.

That’s where some of IBM’s multiple university outreach programs fit in. The company has 4,000 University Ambassadors, typically IBM domain experts, who volunteer to work with universities to engage with faculty members, develop classes around real-world problems, deliver guest lectures, participate in seminars and otherwise engage with professors and students. The company also provides education tools, such as its INNOV8 Business Process Modeling (BPM) simulation game and is adapting many of its other courses to new learning methods, as through support of community portals and wikis, discussion forums, blogs, and Facebook and Twitter communities.

It also has an active university research program through which it funds professors and graduate students to conduct specialized research and all types of fellowship and internship programs in which it works with professors to identify high-potential students. It also partners with universities on IBM’s annual Battle of the Brains competition, the most recent of which attracted more than 28,000 students from 2,000 universities worldwide. These competitions engage interdisciplinary teams to tackle real world problems. The theme of these competitions? Would you guess they are typically aligned around one of IBM’s 21 (and growing) Smarter Planet themes?

IBM will certainly not attract or hire all of the graduates from SSME and Smarter Planet-theme programs. Nor does it want to. Although it hopes, and is positioning itself to identify and recruit some of the most talented graduates, its ultimate objective is to seed the world—its businesses, governments, NGOs and universities—with people who think about the world’s needs (and solutions) in much the same way that IBM does, who have been touched by IBM Ambassadors and programs, who understand IBM products, and who recognize that IBM is dedicated to addressing the same types of needs as are they.

This all leaves me with two questions. When will other corporations recognize the long-term payoffs of this broader approach to partnering with universities? And, how will they reach professors and students in the myriad fields that will be increasingly reshaped and redefined by IT?

Intel Teach Objectives and Successes

Sunday, April 25th, 2010

Intel Teach (described in last week’s blog), is the centerpiece of Intel’s K-12 educational philanthropic efforts. The program’s goal is to provide educators with the capabilities to effectively use IT in their instruction and to change the classroom learning paradigm in a way that will better prepare students for the demands of the 21st century knowledge economy. (See my January 11 blog, IT Companies as Catalysts in Creating the 21st Century Workforce, for an overview of these requirements and the roles that IT companies can play in addressing them.)

The Intel program, which has offered professional development to over 7 million teachers since its 1998 launch, applies a collaborative approach in which Intel works with government organizations to co-fund the training and ensure that the schools have the support they need to implement program approaches with students. Unlike the educational programs of many other IT companies, Intel Teach focuses almost exclusively on providing schools with the tools and the training required for educators to integrate technology using research- proven approaches.

Program Objectives

Intel is a technology company. It provides enabling tools, not business solutions. It approaches its education mission in much the same way, focusing its efforts exclusively on teacher enablement, They train educators to develop new teaching methodologies that align to a local governments curriculum standards. Intel does not attempt to create, or even judge the value of specific standards, nor does it attempt to proscribe the types of schools (such as whether to focus on elementary or high schools) or courses (such as social studies or math) in which these methods should be applied. It presents opportunities to the appropriate government bodies, and lets them decide where and how these capabilities can be most effectively applied.

Intel takes a similarly hands-off approach to student curriculum, specifically deciding not to get involved in creating teaching materials or even in evaluating, promoting or marketing the courseware. It confines its efforts to working with educational agencies to create training that takes an educator from basic ICT (information and communication technology) literacy to advanced training on using ICT in schools.

The company encourages teachers to share their experiences and teaching ideas with other educators. They have consciously decided not to create a formal process for reviewing third-party courseware, or even a database into which developers can expose their materials to others. The reason: Intel believes education is locally driven and content has to align to local curriculum standards to add the most value to student learning. It invests in the creation of exemplary unit plans that align to local country standards so that teachers can see relevant examples that are practical to implement in their classrooms. These project ideas also serve to guide educators in the development of their own projects. Examples of these ideas are provided at http://educate.intel.com/en/projectdesign.

Program Successes

Although Intel has taken a relatively hands-off approach to the development and assessment of teachers’ projects, it does closely monitor the results of its enablement efforts. As mentioned, through the use of partners, the company has trained more than 7 million teachers. This means that 7 million teachers have completed at least one level of instruction in any one of Intel’s multiple Teach programs.

Although the company does not actively monitor how many courses each teacher takes, or how they intend to apply what they have learned, it does follow-up within 18 months to determine whether teachers have changed their behavior as a result of the program. It uses three primary metrics for assessing success:

  1. Do the teachers use computers more extensively for their own use?
  2. Do they use computers more frequently and more effectively in teaching?
  3. Has the Intel program helped change their teaching methods?

Intel has found that after completing at least one course of Intel Teach:

  1. Over 90% of the teachers use computers much more extensively for their own use, such as in learning new content and getting ideas for lessons and professional development.
  2. 80% of them use computers more frequently in teaching, such as in teaching concepts and in applying more relevant student assessment tools.
  3. About 50% of the teachers claim that the course has helped them ask more open-ended questions, explore new methods of teaching content and use new rubrics for assessment.

While these results themselves are sufficient for Intel to deem its program a success, the company is particularly gratified that many teachers have begun to use computers for things that Intel has not taught. Intel believes this result validates its view that familiarity breeds experimentation—exactly the type of transformational change that Intel is attempting to spur.

Intel’s K-12 Education Programs

Sunday, April 18th, 2010

Although microprocessors are certainly Intel’s most important product, education is, by far, its most important charitable endeavor. Intel directly contributes approximately $70 million per year to funding a broad range of educational endeavors—and this number does not even include the roughly $30 million of grants provided by the Intel Foundation.

These educational programs, all of which are managed primarily through Intel’s Corporate Affairs Department, are divided into three broad buckets:

  • The Intel World Ahead Program is Intel’s comprehensive program for supporting global education markets with it’s products, services and philanthropic programs. This program dedicates resources to connecting the next billion people, in all corners of the world, to technology tools. Although it entails a broad range of efforts, including providing access to IT and communications tools and the providing of localized content and services, education is a primary component. The educational objectives of this program include—and leverage—the same resources as the company’s Higher Education and K-12 programs.
  • The Intel Higher Education Program focuses primarily on developing and promoting specialized technical curricula, research, and competitions in areas including microelectronic, multi-core and mobile technology design, and parallel computing architectures. It also partners with the University of California Berkeley’s Haas School of Business to encourage and prepare today’s students to become technology entrepreneurs. Both efforts are intended to encourage and develop the type of talent pipeline required by Intel, its partners and its customers.
  • The K-12 Education Program focuses on helping schools and teachers to use IT to transform education, to encourage students to study and excel in math and science and, more generally, to facilitate the type of critical thinking and the analytical and collaborative skills required in a knowledge economy. These efforts include a range of project-based learning approaches, online education tools, and the Intel Teach professional development program. They are supported by a number of complementary community-based programs, such as the Intel Computer Clubhouse Network, the Intel Learn Program and the Intel Science Talent Search that allows children to access IT-based schools and develop new skills and interests outside classroom settings.

The Foundations of Intel Teach

Intel Teach is the centerpiece of Intel’s K-12 educational efforts. Teach is a professional development program that provides educators with the type of online tools and training that will allow them to effectively employ technology to transform their lesson plans and grading methodologies, develop professional learning communities and expose their learnings to their peers. The program is intended to facilitate the use of project-based approaches to help students learn high-order,  21st-century skills in areas including problem solving, critical thinking and communications.

Although Intel, like many other IT companies, began its educational program by donating hardware and software to schools, it soon recognized that transforming established educational paradigms and teaching models requires much more than products. It requires a comprehensive enablement program though which teachers learn to effectively use technology to improve their own productivity and to integrate it through their teaching and assessment processes.

This led creation of Intel’s ACE (Applying Computers in Education) program, under which Intel trains teachers on the effective use of computers and on computer-enabled learning methods. Although the program ramped from training 300 teachers in 1997 to training 2,500 in 1998, then-CEO Craig Barrett was not impressed. He set a goal of training a minimum of 100,000 teachers and backed that commitment with a big investment.

In response to this challenge, the Corporate Affairs Department transformed ACE into its new Intel Teach program. This program, which was launched in the U.S. and rapidly spread it to other (initially English-speaking) countries, consisted of a number of modules (Essentials, Elements, Thinking with Technology, and so forth) among which educators could choose one or many.

Between 1998 and 2002 Intel trained a total of 1 million teachers in 25 countries. Although the tech industry crash slowed momentum, Intel Teach is now offered in more than 50 countries and has trained over 7 million teachers.

Although the Intel Teach program is created and managed centrally, Intel recognizes that one size does not fit all. The program is, therefore, managed locally and implementations are tailored to the very different needs and requirements of individual states and countries, Intel conducts conferences for state education policy leaders and helps them understand how technology can help them address their specific objectives. It can then assist these government organizations identify the types of efforts best suited to their needs and help them select districts and schools in with which these efforts can most effectively be developed.

Intel does not work directly with schools or train individual teachers. Instead, it recruits and trains NGOs and professional educational content developers, who then apply Intel Teach methodologies and tools to the training of individual teachers. It also works to assure that its objectives and approaches are aligned with groups such as the International Society for Technology in Education (ISTE), that promote the role of technology in education.

Intel also coordinates some of its Teach efforts with the education programs of some of its IT vendor partners—especially Microsoft and Cisco—to develop best-in-class models for deploying technology in education. Although the partners’ objectives and approaches sometimes diverge (such as in Intel’s covering of MacOS and Linux, in addition to Windows), their efforts, technology focuses and capabilities are still quite complementary. (See, for example, my March 28 and April 4 blogs of Microsoft’s Partners in Learning program.) Intel, for example, provides basic Word and Excel training and positions Microsoft’s peer mentoring courses as follow-ons to its own Essentials and Elements courses.

I’ll discuss the objectives and results of Intel’s Teach program in next week’s blog.

Microsoft Builds a “Partners in Learning” Value Chain

Sunday, April 11th, 2010

My previous blog provided a brief overview of Microsoft’s Partners in Learning program and its objectives of helping primary and secondary schools dramatically enhance teacher skills and transform educational models around 21st century best practices that use technology as a tool for demonstrably and measurably improving pedagogy and learning outcomes. This blog provides an overview as to how Microsoft plans to dramatically scale this program, while simultaneously ensuring—and objectively measuring—the program’s success.

A Localized, Leveraged Model

Although Microsoft’s Partners in Learning program is developed and coordinated centrally, through a 10-person headquarters staff, the real work is done in the field. The company has assembled 85 field managers (typically former teachers and school administrators) to tailor and localize the program around the needs of schools in 112 individual countries.

These local managers work not with individual schools, but with mid-level education ministry officials and leading educational experts in each country. They run policy implementer workshops to help these policy makers and implementers:

  • Envision how to transform education;
  • Discover the technologies that are available and how to most effectively apply them;
  • Identify expected results; and
  • Formulate change management processes that will be most effective in helping schools transform their education models.

This is where the leveraged model kicks in. Although the mid-level officials and educational experts have neither the authority to change their country’s educational policies nor the reach to educate and train schools and teachers, the workshops are intended to provide them with the tools required to communicate the opportunities and value of using technology both:

  • Upward, to their country’s Education Ministers; and
  • Downward to school districts and individual schools.

Teachers who have been trained in these new skills then train other teachers. Schools that successfully go through the program (so-called Mentor Schools) then train the next generation of schools (so-called Pathfinder Schools) who then become the next generation of Mentor Schools. Although the program has already trained about 2 million teachers, its efforts at transforming schools are still relatively nascent. As of the end of 2009, it had only certified 12 Mentor schools and had pre-qualified another 30 to go through its Pathfinder School program.

Microsoft, however, plans to rapidly and dramatically scale this program. The tools used in the program are available to any school and more than 1,700 schools have already begun using them. While not all such schools will wish or qualify to go through the complete program, some certainly will. By the end of 2013, the company expects to have qualified a total of 45 Mentor and 300 Pathfinder schools (who, in turn, will engage with thousands of other schools around the world) and to have trained about 12 million teachers across 112 countries.

Pretty ambitious objectives. How can Microsoft grow this program so rapidly? More importantly, how can it ensure that that it delivers the type of objectively verifiable outcomes that Microsoft is so intent on demonstrating?

With a Little Help from its Friends

These goals are clearly too ambitious for a single company, even one with Microsoft’s resources. Sure, a leveraged model will certainly help, but the Partners in Learning team cannot do it all. Therefore, the group is partnering with other groups within Microsoft. For example, it leverages content created by Microsoft Learning and works with Microsoft’s Education Products Group to create specialized education market SKUs, such as Office for Educators.

The Partners in Learning team is also actively partnering with governments, NGOs, universities, donor organizations and other corporations. For example:

  • Intel, Cisco and the World Bank helped Microsoft develop its policy implementer workshop;
  • The University of Wittwaterstrand in South Africa is the first in what will be a chain of universities that deliver these workshops;
  • The University of Washington developed the foundation for change management model that Microsoft uses in migrating schools to 21st-century skills; and
  • Third-party consultants help individual schools implement such programs.

It Takes a Community

Defining new educational models, demonstrating their value to national education leaders, training teachers, and providing a leveraged framework for implementing these models in individual schools is a necessary first step. A successful program, however, must do more. It must also maintain interest in the program, facilitate the development of courseware and other content, and allow participating teachers and schools to share experiences and emerging best practices.

That is where Microsoft’s Partners in Learning Network fits in. Although the foundation of this global, collaborative, professional development network has been in place for more than five years, Microsoft launched a new, greatly enhanced version in November 2009.

This network, which Microsoft describes as something of a LinkedIn for teachers, allows teachers to register by filling out profiles, find other teachers with similar interests and complementary experiences, create communities, build shared workspaces, and share content and best practices. Although the current network is available only in English to 17 countries, it is being extended to support Spanish, French, Chinese and Arabic and is scheduled to launch in 23 additional countries over the next few months.

These virtual communities create sounding boards for new ideas, expose experiments and experiences, facilitate peer review, and facilitate rapid and broad deployment of successful practices. They also serve as a primary vehicle by which teachers can be exposed to and share courseware, curricula guidelines and content. While teachers will create the vast majority of this material, Microsoft will also provide supplemental sources. For example, as mentioned above, the Partners in Learning group is working with other Microsoft groups (including Microsoft Learning and Education Products Group) to develop and tailor offerings for educators and is also beginning to build a network of partners (such as the Smithsonian Institution) to create more.

Microsoft will also highlight particularly innovative programs and materials through its Innovative Teachers and Innovative Schools programs and competitions and allow teachers and administrators to directly share learnings in annual conferences.

Assessing and Exposing Best Practices

Although Microsoft is certainly interested in inspiring and promoting innovative programs, it is committed to ensuring that materials and learning approaches are also effective. It is, for example, working with the Stanford Research Institute to develop metrics to assess IT technologies’ effect on learning outcomes and with UNESCO to study outcomes in four very different countries (Russia, Senegal, Finland and Indonesia). The study, which is using an open, technology-independent methodology, will generate peer-reviewed assessments. It is intended to result in a set of standardized, vendor- and technology-independent metrics that schools, governments and NGOs can use as a baseline for measuring the effectiveness of different technology-enabled learning programs.

Microsoft is convinced that technology has the potential of transforming the educational process into a more student-driven, project-based model and of dramatically improving outcomes. However, it views technology as a means of achieving this goal, not as an end. It developed a program to enable and encourage teachers to experiment and develop innovative uses of this technology and to expose the most promising of these approaches to other teachers. But it’s looking for far more than innovation. It is also looking for effectiveness, by ensuring that this technology produces optimal, measurable and replicable outcomes.

Although Microsoft is genuinely focused on ensuring that education technology produces optimized results, one can be excused for suspecting something of a conflict of interest. The Partners in Learning program is, after all, run out of the company’s Public Sector Markets group—a group that is focused on, and rewarded for increasing sales into its target market. Microsoft, however, makes no secret of this affiliation or of its desire to dramatically increase the penetration of IT into schools.  In fact, it refers to Partners in Learning as a “social enterprise” rather than a “social responsibility” program. It believes it has a responsibility to help improve educational systems in all countries to facilitate the countries’ and the peoples’ economic development, to create a more robust market for technology and to develop a better equipped workforce.

In other words, what’s good for the world—or at least for the world’s education system—can also be good for Microsoft’s business. No conflict in that.

Microsoft “Partners in Learning” Program Objectives

Sunday, April 4th, 2010

My December 6, 2009 blog on the evolving focus of Microsoft Learning examined the group’s evolving mission and its growing partnerships with colleges and universities to teach not only budding IT professionals, but also students in other disciplines (especially business) the value that IT can provide in their work.

Microsoft’s work with schools, however, goes far beyond teaching college students to use Microsoft tools in their professions. The company’s Partners in Learning program, for example, works with primary and secondary schools, helping them enhance teacher skills and transform educational models around 21st century best practices that use technology as a tool for demonstrably and measurably improving pedagogy and learning outcomes.

Partners in Learning History

Launched in 2003 with a $250 million grant, Microsoft’s Partners in Learning program’s goals were to provide schools with access to technology and help them integrate this technology into their curricula.

While the initial program produced substantive results, many schools continue to use technology in separate IT labs or to automated traditional “sage on the stage” teaching methods, such as by using PowerPoint as an alternative to whiteboards. Relatively few used this technology to fundamentally transform pedagogy into an independent, self-guided, project-based learning model in which teachers would support student-initiated learning by serving as “guides on the side”. Despite the grants and the guidance, most teachers lacked technology skills and the understanding of how to most effectively use technology in teaching, classrooms remained too overcrowded for personal attention, and governments could not provide the resources required to address these limitations.

Microsoft, however, was not discouraged. It continually adapted and then dramatically extended the program by committing an additional $235 million in 2008. The current program is built around a leveragable, holistic, best practices-based approach to transforming educational models around 21st century methods and to measuring results with objective metrics.

Microsoft is certainly making progress. As of the end of 2009, the program had produced:

  • More than 7.1 million trained teachers and school officials;
  • 12 “mentor schools”, which have successfully changed teaching and learning methods in accordance with Microsoft’s Innovative Schools Program methodology, and are now authorized to help other (Pathfinder) schools transform their own programs;
  • A pipeline of 30 “pathfinder schools”, which have already been qualified to go through the Microsoft program. These schools, although they may not yet employ advanced technology, have strong curricula, teachers and results, and leaders with a desire to go through the type of transformation required by the Innovative Schools Program. They have also completed a preparatory program including semi-annual in-person professional development sessions and monthly “virtual universities”. (Once they “graduate”, these schools qualify to become the next cohort of mentor schools.

This, however, is just the beginning. By the end of 2013, the company plans to have trained 10 million teachers across 112 countries, to have qualified 45 Mentor and 300 Pathfinder schools and to have thousands of schools in the Innovative Schools’ breadth program, though which any school can gain access to Partners in Learning tools even if they don’t complete in the full program.

How does Microsoft plan to achieve such ambitious goals? My next blog, Building a “Partners in Learning” Value Chain, will provide an overview of some of the key elements of Microsoft’s plan for driving this phenomenal growth while simultaneously ensuring—and objectively measuring—the program’s success.

The Great U.S. Tech Education Debate

Sunday, March 21st, 2010

On March 15, TechCrunch produced a very informative debate between Craig Barrett, former CEO of Intel and huge proponent of technology education, and Vivek Wadhwa, a Duke/UC-Berkeley professor who writes extensively on innovation, entrepreneurship and cross-border movement of technology talent. 

The debate was spawned by a Wadhwa comments in a Scientific American article that claimed there is no shortage of tech talent in the U.S. To summarize a debate, which must be read in its entirety to be fully understood, Wadhwa claims there is plenty of talent in the form of STEM (science, technology, engineering and mathematics) talent in this country. The problem is that much of this talent is in the form of postdocs (post-doctoral fellows) that are bottled up in a broken university technology education system, and in foreign-born PhDs who, once they receive degrees from U.S. universities, find it increasingly difficult or unattractive to remain in the U.S. If the artificial economic and political restraints were removed, and STEM PhDs were actually paid what they were worth, this talent would be unleashed and produce the type of innovation and jobs that the U.S. so desperately needs.

Barrett views things differently. Although he acknowledges that some postdoc PhD’s do not achieve their commercial market potential, he claims that this is due to their decisions to dedicate their efforts to the long, uncertain process of becoming tenured professors at research universities, rather than working at corporations. In his view, the real problem lies in our K-12 education system, which, due largely to the lack of qualified science and mathematics teachers, fails to ignite children’s’ imaginations around the opportunities in these disciplines and fails to provide a foundational knowledge for university study.

Wadhwa certainly acknowledges the limitations in the U.S. K-12 education system and the need to create “excitement about science and engineering at the national level and motivate our best and brightest to become engineers and scientists.” He, however, clams that the biggest problem is pay. The scientific community in general and the educational system in particular, simply do not pay enough to retain the best talent. These people are lured by the huge the huge rewards promised by the financial industry (such as becoming venture capitalists or investment bank “quants “), rather than become research scientists who drive U.S. innovation.

My Interpretation

While the debate is fascinating, it appears to me that Wadhwa over-generalizes the admittedly disturbing dilemma of postdocs. Just because some STEM PhDs remain in poorly paid fellowships (with hopes of earning valued professorships) rather than going to industry, it does not necessarily mean either that:

  • There are not enough jobs for STEM graduates; or that
  • STEM professions do not pay competitively.

True, not all STEM PhDs can become professors at prestigious research universities. On other hand, not all law school graduates can win U.S. Supreme Court clerkships or highly paid posts at premier white shoe law firms. That, however, does not stop students from overwhelming law school admissions offices. Nor do the short odds of becoming professional athletes, actors or musicians prevent millions of young adults from aspiring to these careers.

Even if there are not enough tenured professorships, PhDs who do need jobs can always “stoop” to work in the private sector. Nor should we confine the analysis of STEM jobs to PhDs. There are, after all, far more Bachelor and Master-level STEM graduates than there are PhDs. Most statistics show that newly minted STEM graduates have higher employment rates than other job categories (even during the recession) and that by far, the largest percentage of unfilled jobs utilize STEM-related skills. Moreover, starting salaries for these graduates remain among the highest of those for all degrees. As shown in a March 2010 Association of Colleges and Employers study, for example, engineering and IT jobs account for all ten of the top ten earning degrees. 

Although some segments of the financial services industry certainly pay more for a handful of the best graduates from the best schools, this cannot be viewed as the standard for all STEM jobs—just as Wall Street law firm salaries cannot be viewed as the standards for all JDs from all law schools. These numbers are too small, and their selection criteria too limited to apply to all graduates.

In sum, I generally agree with Craig Barrett that most people—especially young people—are driven as much by their passions as by the immediate opportunities for monetary rewards. There are, however, limits to this idealism. Pay must yield reasonably comfortable lifestyles and must at least be in the same ballpark as reasonably competitive fields. Although most STEM careers probably meet these criteria (except when compared with financial services, professional sports or entertainment), the big exception is in K-12 STEM education.

Unfortunately, it will take much more than competitive salaries to fix this country’s K-12 education system. Its problems are far too complex and ingrained to be solved by the education community alone. As I have discussed in many of my articles, solving these problems will require a huge amount of assistance from the private sector.

A number of private sector companies—especially IT companies, like Intel, Microsoft and IBM—are already doing great work in helping to improve education at all levels, from K through graduate schools. They are giving schools some of the tools and the training required to improve teaching and learning and helping them improve STEM curricula.

Some are even attempting to address the intense social and peer pressures against becoming “geeks” and “nerds” by demonstrating that STEM skills can be instrumental in achieving the goals of many young adults—to make a real difference in the world. As discussed in my report on IBM’s Academic Initiative, IBM is doing particularly interesting work in engaging student’s desire to make a difference in the world by showing how STEM skills are so critical to addressing some of society’s most pressing problems, as around smarter healthcare, energy and food supplies.

With all due respect to Intel’s wonderful commercials, it may be too much to hope to persuade kids to view scientists, engineers and mathematicians with the same admiration and awe as rock stars or professional athletes. It may, however, be possible to engage at least some part of their minds, psyches and self esteem around the idea of helping the world solve real problems. Perhaps someday, children focused on such missions may even earn the respect, if not necessarily the admiration, of their peers.