Group items tagged

The original pointer to this report summary is from Jim Spohrer at http://forums.thesrii.org/srii/blog/article?blog.id=main_blog&message.id=191#M191 .

Key messages * There are three primary stakeholder groups that can guide the development of services science: academia, government and industry. Only by investing and working together in a coordinated manner can the maximum promise of services science be realised. * The global recession should sharpen government and industry's focus on services science as they seek solutions to invigorate the western economy, to make business more competitive and to learn from this latest setback. * Services science has the potential to establish a new industry of professionals (compare engineers, lawyers and computer scientists) whose expertise can be drawn upon to benefit the broader services-led economy. * The degree of human intervention required during the lifetime of an IT services contract is too high and is consequently both too expensive to be efficient and too error-prone to be effective. These shortcomings are directly related to the absence of scientific rigour in the design and delivery of these services. * IT is integral to services science, since modern service systems often have IT enablement heavily involved in service delivery. * IT service providers have the potential to benefit from services science by making their offerings more meaningful and resilient in a market that will increasingly demand more efficient service delivery. * Innovation in services delivery is at the heart of the vision for services science. The end goal should be a virtuous circle of innovation that can encourage new business opportunities and, in turn, create further innovation in the delivery of services. * Collaboration, investment and sharing of knowledge are vital to progressing services science research and development. * Significant challenges still need to be overcome to drive adoption of services science, not least of which is the complexity of aligning academic, business and governmental interests at a given moment in time. * Gove

In a surprise verdict that stunned even the defendant, a justice of the peace has dismissed a slate of raw-milk-related charges against Ontario dairyman Michael Schmidt and simultaneously delivered a boon to Canada's food-rights movement. Mr. Schmidt supplies raw milk to a small network of people with ownership shares in his dairy cattle. He was facing 19 charges related to public health and milk marketing when, looking grim, he took his seat before Justice of the Peace Paul Kowarsky in a Newmarket courtroom yesterday morning. Throughout the three hours it took Mr. Kowarsky to read out his 40-page verdict, the outlook for Mr. Schmidt's cow-sharing operation flip-flopped from promising to doomed and back again. But Mr. Kowarsky ultimately acquitted the farmer, a rising star in the growing international farming and food-rights movement, on the basis that the unique structure of his operation does not violate Ontario's stringent milk-marketing laws. Nor does Mr. Schmidt's provision of unpasteurized milk (which is illegal to sell in Canada) to shareholders endanger public health, Mr. Kowarsky said. The judgment, the culmination of a legal battle that was launched in 2006 after a raid by the Ministry of Natural Resources on Mr. Schmidt's farm in Durham, Ont., does not mean raw milk can be commercially sold in Ontario. The decision also remains open to appeal. However, it gives a boost to the burgeoning sector of creative farm-to-consumer food delivery-programs, including "cow-shares," which have grown in popularity as mistrust in the industrial food system has increased. "What I did foremost was make sure that farmers have the rights to engage in private contracting with consumers who make an informed choice," said Mr. Schmidt, who called the ruling "brilliant" but admitted he "didn't expect such a clear verdict." He has battled with public health officials and government milk regulators since the first crackdown on his raw-milk operation, in 1994. Unpasteurized pro

daviding says: The difference between selling milk and contracting for cow-share memberships can be seen as a shift from the presumptions of industrial production towards a service system. The regulators are trying to protect bulk distribution of raw milk from anonymous sellers to anonymous buyers. In Michael Schmidt's milk house, the cow-share owners not the provider of the product not only as the person who owns the farm, but also the original producer (i.e. the cow).

daviding says: Wisdom and knowledge are sticky to experts. However, the advent of "open content" on academic materials challenges the traditional way in which universities interact with students.

"The Internet disrupts any industry whose core product can be reduced to ones and zeros," says Jose Ferreira, founder and CEO of education startup Knewton. Education, he says, "is the biggest virgin forest out there." Ferreira is among a loose-knit band of education 2.0 architects sharpening their saws for that forest. Their first foray was at MIT in 2001, when the school agreed to put coursework online for free. Today, you can find the full syllabi, lecture notes, class exercises, tests, and some video and audio for every course MIT offers, from physics to art history. This trove has been accessed by 56 million current and prospective students, alumni, professors, and armchair enthusiasts around the world. "The advent of the Web brings the ability to disseminate high-quality materials at almost no cost, leveling the playing field," says Cathy Casserly, a senior partner at the Carnegie Foundation for the Advancement of Teaching, who in her former role at the Hewlett Foundation provided seed funding for MIT's project. "We're changing the culture of how we think about knowledge and how it should be shared and who are the owners of knowledge." But higher education remains, on the whole, a string quartet. MIT's courseware may be free, yet an MIT degree still costs upward of $189,000. College tuition has gone up more than any other good or service since 1990, and our nation's students and graduates hold a staggering $714 billion in outstanding student-loan debt. Once the world's most educated country, the United States today ranks 10th globally in the percentage of young people with postsecondary degrees. "Colleges have become outrageously expensive, yet there remains a general refusal to acknowledge the implications of new technologies," says Jim Groom, an "instructional technologist" at Virginia's University of Mary Washington and a prominent voice in the blogosphere for blowing up college as we know it. Groom, a chain-smoker with an ever-present five days' growth of

daviding says: This is an interesting example of decomplexification (in the vocabulary of Tim Allen). Instead of integrating health services into a centralized facilities (i.e. complexifying), having doctors distributed nearer to the homes of patients can reduce costs. The difference between the era of Marcus Welby MD and today is that the Internet enables easy electronic sharing of patient records ... if the physicians and patients are willing to allow that free flow of information.

The primary-care doctor is gaining new respect in Washington. Battles may be breaking out left and right over the various health-care bills emerging from Congress, but reformers on both sides agree that general practitioners should be given a central role in uniting the fragmented U.S. medical system. This vision has a name: the "patient-centered medical home." The "home" is the office of a primary-care doctor where patients would go for most of their medical needs. The general practitioner would oversee everything from flu shots to chronic disease management to weight loss, and coordinate care with nurses, pharmacists, and specialists. A 2004 study estimated that if every patient had such a home, the resulting efficiencies might reduce U.S. health-care costs by 5.6%, a savings of $67 billion a year. [...] advocates say the new concept is designed to help patients, not insurers. It's more like doctoring 1950s-style, when a Marcus Welby figure handled all the family's medical needs. This time it's juiced up with digital technology. It also represents a politically painless way to streamline a disorganized and wasteful system that chews up a crippling 18% of the U.S. gross domestic product. That burden is felt particularly by private industry, which covers 60% of the nation's insured. Since most businesses try to ferret out waste and disorganization in their own operations, the medical home is a concept they can embrace in good conscience. One of the biggest advocates is IBM (IBM), which shelled out $1.3 billion last year on health benefits for its U.S. employees and retirees, equal to one month of the company's net income. Dr. Paul H. Grundy, 57, who holds the unusual title of director of health-care transformation for IBM, is a medical-home evangelist who led the company to start the Patient-Centered Primary Care Collaborative, a coalition of some 500 large employers, insurers, consumer groups, and doctors. Part of his goal, he says, is to show that "emp

daviding says: This is the first version of a quantitative study that could become an annual study. Note the 25 metrics in nine categories over three sets of main indicators (foundations, flows of resources, impacts).

... today we're publishing as The 2009 Shift Index, a new set of economic indicators built for the digital world. Because it focuses on longer-term, "secular" changes to the business environment, the Shift Index is designed as a complement to the overwhelmingly short-term, cyclical measures that comprise most of today's economic indices. The full report and findings are available here. And a summary version of the framework, index, and findings is now out in the July/August Harvard Business Review. In the months and years to come, this inaugural index, which focuses exclusively on the U.S. economy, will be regularly updated to track changes over time and expand the ability to compare performance trends across industries, countries, and firms. The Shift Index tracks 25 metrics in nine categories across three sets of main indicators: Foundations, which set the stage for major change; Flows of resources, such as knowledge, which allow businesses to enhance productivity; and Impacts, which help gauge progress at an economy-wide level. Together these indicators represent phases of transformation in the Big Shift taking place in the global business environment. What do the findings show? The 2009 Shift Index reveals a disquieting performance paradox in the US corporate sector. On the one hand, labor productivity has nearly doubled since 1965. During those same years, however, US companies' Return on Assets (ROA) progressively dropped 75 percent from their 1965 level.

OMG™ and the International Council on Systems Engineering (INCOSE) today announced that they have agreed to work together on the development of OMG's new program to certify Systems Engineers and other practitioners on the OMG Systems Modeling Language (OMG SysML™) standard. SysML is a graphical modeling language used to perform Model-Based Systems Engineering (MBSE) - that is, to specify and design complex systems that may include hardware, information, personnel, and facilities in addition to software. The program, to be called OCSMP™ (OMG-Certified Systems Modeling Professional), will be OMG's fourth certification. OMG, an international, open membership, not-for-profit industry consortium, maintains standards for interoperability, modeling, and process maturity including the Model Driven Architecture® (MDA®) and Unified Modeling Language™ (UML®); in addition, OMG certifies practitioners in many of these standards. INCOSE is a not-for-profit membership organization dedicated to advancing the state of the art and practice of systems engineering, in part through its Certified Systems Engineering Professional (CSEP) certification program.

The hard (in the sense of difficult) part of service science is the social system side. INCOSE and OMG don't really address that. They address the hard (as opposed to soft) systems aspects, with people merely as more parts of an intrinsically engineered system (weapons system, transportation system, etc.). I applaud your diligence with respect to SysML and all that, but I hope your vision of the science of service systems is big enough to include the social side as well.

11. How is ontology different from object-oriented modeling? An ontology is different from object-oriented modeling (represented in UML) in several ways. First, the most profound difference is that the ontology technology is theoretically found on logic. While ontology allows automated reasoning or infer ence, object-oriented modeling does not. Another difference is the treatment of properties; while the ontology technology treats properties as the first-class citizen, the object-oriented modeling does not. That is, while the ontology technology allows inheritance of properties, the object-oriented modeling does not. While the ontology technology allows arbitrary user-defined relationships among classes (a type property), the object-oriented modeling limits the relationship types to the subclass-superclass hierarchical relationship. While the ontology technology allows adding properties to relationships such as symmetry, transitivity, and inversion so that they are used in reasoning, the object-oriented modeling does not. While the ontology technology allows multiple inheritances among classes and also among properties, the object-oriented modeling allows only single inheritances. Despite theses differences, object-oriented modeling and UML are accepted as a practical ontology specification, mostly because of their wide-spread use in industry and the multitude of existing models in UML. There is an on-going effort to add logic capability to object-oriented modeling, represented by OCL (Object Constraint Language).

daviding says: To improve our understanding of the science of service systems, I think that we need to get to the level of ontology vocabulary ... and probably no higher. SysML has features that UML doesn't ... which doesn't mean good or bad, just different.

Many services can be self-provided. An individual user or a user firm can, for example, choose to do its own accounting - choose to self-provide that service - instead of hiring an accounting firm to provide it. Since users can 'serve themselves' in many cases, it is also possible for users to innovate with respect to the services they self-provide. In this paper, we explore the histories of 47 functionally novel and important commercial and retail banking services. We find that, in 85% of these cases, users self-provided the service before any bank offered it. Our empirical findings differ significantly from prevalent producer-centered views of service development. We speculate that the patterns we have observed in the banking industry will be found to be quite general. If so, this will be an important matter: perhaps 75% of GDP in advanced economies today is derived from services. We discuss the implications of our findings for research and practice in service development.

daviding says: Includes the idea of self-service, focusing on banking services.

In an age in which consumers, businesses and governments are increasingly focused on socially responsible actions, much of our planet's natural and financial resources are being squandered simply by conducting business as usual: Much of the world's food supply never makes it to consumers. A considerable portion of the water used each year is frivoled away by poor agricultural water management. And road congestion, poor routing and other traffic issues around the globe contribute to substantial crude oil waste. Much - if not most - of this inefficiency can be attributed to the fact that we have optimized the way the world works within silos, with little regard for how the processes and systems that drive our planet interrelate. We've tuned these processes to generate specific outcomes for individual communities, nations, enterprises and value chains. To root out inefficiencies and reclaim a substantial portion of that which is lost, businesses, industries, governments and cities will need to think in terms of systems, or more accurately, a system of systems. We'll also need to collaborate at unprecedented levels. Certainly, no single organization owns the world's food system, and no single entity can fix the world's healthcare system. Success will depend upon understanding the full set of cause-and-effect relationships that link systems and using this knowledge to create greater synergy. The chief obstacle that remains is mindset - moving from short-sighted to long-term perspectives, from siloed to system-of-systems decision making. Download the IBM Institute for Business Value executive report, "The world's trillion-dollar challenge: Using a system-of-systems approach to build a smarter planet," to discover a framework for helping solve real-world problems using a system-of-systems approach.

daviding says: The use of the phrase "systems of systems" in a report from IBM Global Business Services (i.e. the management consulting arm) is interesting.

Print ISBN: 9780470382417 Online ISBN: 9780470569627 DOI: 10.1002/9780470569627 Industrial Engineering What you need to know to engineer the global service economy. As customers and service providers create new value through globally interconnected service enterprises, service engineers are finding new opportunities to innovate, design, and manage the service operations and processes of the new service-based economy. Introduction to Service Engineering provides the tools and information a service engineer needs to fulfill this critical new role. The book introduces engineers as well as students to the fundamentals of the theory and practice of service engineering, covering the characteristics of service enterprises, service design and operations, customer service and service quality, web-based services, and innovations in service systems.

Conference on Systems Engineering Research Stevens Institute of Technology and Delft University of Technology in collaboration with the University of Southern California (USC), presents the 8th Annual Conference on Systems Engineering Research (CSER) Conference Objective The objective of this conference is to provide practitioners and researchers in academia, industry, and government with a common platform to present, discuss and influence Systems Engineering research, and to enhance the practice of Systems Engineering and Systems Engineering education. Call for Papers We invite original research papers addressing any aspect of the Systems Engineering lifecycle. This includes conception, design and architecting, development, modeling and simulation, production, integration, validation, operation and support of these systems. Additional topics include definition of metrics, performance, and improvement methods, assessment and mitigation of risks, definition of critical success factors, and definition of best practices. All papers will be peer reviewed, and if accepted, presented at the conference.

daviding says: I have this conference marked on my calendar. The Nov. 1 paper deadline is tough for me. In addition, I should also be working on my dissertation in the spring ... and that's not on a systems engineering topic.

daviding says: The article recognizes the limitation of government statistics on services. The industry segment isn't exactly the focus of researchers interested in the creative class economy, but it does demonstrate how surrogate measures may be collected.

The Sapporo findings, published in a dry report on changing shopping trends and urban land use this week, show the number of brothels in the Susukino district, one of the three largest red-light areas in the country, has soared more than fourfold to 264 in the past two decades. [....] This makes the sex trade a rare success story in an economy devastated by the steep decline in global demand for Japanese autos and electronics, drivers of the country's exports, and eroding domestic consumption, which supports a vast service sector. Services account for the overwhelming part of economic activity in Japan and other modern countries, and they are notoriously difficult to measure precisely. In Canada, Statistics Canada frequently examines and overhauls the way it measures services in the search for greater accuracy. But Statscan would have a hard time gauging the true economic impact of the sex trade. It's much easier to measure in Japan, where several sexual acts are allowed in licensed outlets in designated areas, although actual intercourse in those establishments is outlawed.

daviding says: Here's an interesting tidbit on how the social media could be changing the way musical performances are being done. Major concert tours (since the Beatles played Shea Stadium) have taken an industrial approach of mounting the production, and then playing the same thing over and over again. Most jazz players have the facility to drop into different combos, and changing the lineup at each performance makes that date unique. Having a wide variety of performances show up on the Internet drives additional interest, as opposed to hearing exactly the same performance every time. (Antonio Sanchez is a well-respected drummer, who doesn't just play with Pat Metheny).

"I would be committed to one band (usually guitarist Pat Metheny's) most of the time, out of musical preference, or whoever had more work. Now I have to play with four or five different bands in order to keep busy. Before, people toured longer, because the market was different. Now, even big names like Chick Corea, or Pat, or Herbie Hancock, every time they go out, they go out with a different band, because promoters want a different project every single time. Because of YouTube and the Internet, people see so much stuff that when they want to see something live, they want something special."