I I I I I Nomad independence: In a nomad society, the I technology needs are basically limited to tools for I I hunting, herding, and gathering and to erecting a I temporary shelter. I I Agrarian economy: Tool requirements extend to Time I cover farming and storage and to erecting a per- Concept Demise I I manent shelter. This era covers most of human I civilization. I Fig. 1. Technology life cycle. I Industrial revolution: Within a generation during I the last century, technology expanded to very large, I I complex systems requiring multiple workers. Infor- Extending the life Cycle I mation is controlled by the system owner. Shelter I Because of the transition cycles, few companies I moves past needs to wants, but the location is con- can thrive for long periods of time. Two ap- I trolled by the work site. Adequate resources are avail- I proaches appear to be the dominant models for able for limited saving and planning for the future. I survival. The first cleans up the old act. The sec- I Information explosion: Technology explodes to I ond takes a new tack. ubiquitous availability for anyone wanting to learn I Resurrection: This is not part ofthe life cycle, but I and willing to take risks. Shelter location can be at I rather is an admirable effort to recapture some of the choice of the owner. Resources are available to I the strength of the dream, stretch the life of the I those who seize the available information#. maturity segment, and enhance the life of the or- I In adeveloped society, all these exist simultane- I ganization. I ously. Later advancements are simply added op- The new corporation is a development to sal- I tions. With each change, it is apparent that the I vage a historical management hierarchy from satia- I choices are greatly augmented. Nevertheless, not tion and demise. The basic premise is to reduce I everyone will access the opportunities of the new I costs and number of people, employ technology I paradigm because of ties to and dependence on the where feasible, and focus on a core business. Com- I previous period. I panies that have effectively changed their organiza- I tion have been rewarded substantially by the stock I I market increasing the value of shares {4]. I Application technology, such as computers, is I life Cycle I Within each technological era, a defined business used to enhance ancillary performance. New ad- I vancements in the core business technology may I life cycle follows technology development. Technol- I ogy is dominant during the birth and period of not occur as they should. Nevertheless, costs will I growth. Munagement brings in a period of stability be controlled to the point of extending maturity. I I and expansion by acquisition. Legal protection and The organizational structure becomes very flat. I risk avoidance portend the end. The curve can be One designated hitter will have numerous people I I plotted with money, recognition, or some other directly under his authority. The organization I measure of wealth on the vertical axis, and time on again takes on some of the image of entrepreneurs. I I the horizontal [3]. Each worker is responsible for his own performance I The corresponding technology cycle is pro- without supervision. A slip-up or politicalfauxpm, I I posed. (1) Any new technology begins with a and he is out. I dream, a concept ot an idea. (2) As the dream be- Support services consist of a personal computer I and voice mail. With the rapid developments, the I comes focused, aplan matures and a process forms. I (3) During a growth phase, the system has reached type of support will change before this article is I published. Technology has been elevated to re- I critical mass; it can progress merely on its own I merits. (4)As a technology reaches maturity, the duce costs. Many specialized functions, such as I design, training, and construction, are outsourced I wealth curve flattens out over the bandwidth of the I life cycle. The system is stable enough to be self- to specialists. I Network: Companies that flourish become man- I sustaining until a replacement technology arrives. I (5)The new technology begins to push the wealth agers of technology. The major chore becomes co- I curve downward at the roll-of. (6) No new applica- ordination among the three corners of the product I I tions exist for the original technology during the triangle-suppliers, marketers, and transporters. I satiation. (7) Eventually the plug is pulled for the The technology is developed and provided by out- I I demise. Fig. 1 graphically illustrates the life cycle. side sources. The managers develop a distribution I At the turn of this century, the productive system to the client for the product. It may take on I I period of technology could exceed that of one a private label or a widely recognized branded I generation. With the approach of the next cen- moniker. The remaining pin of the triangle is re- I I tury, technology life expectancy is often less sponsive transportation for movement of products I than five years. and information. I I I IEEE Industry Applications Mngazine II March/A,uril I 998 @ I I I I I I From this basis, every closed, physical system I a I can be identified as “zero-sum’ game In other I words, if there is an increase or winner in one area, I then there must be a corresponding decrease or I I loser in another area This is a valid observation I when the system is completely and adequately de- I I fined Notice that one of the necessary criteria is a I closed system A closed system is completely self- I I contained without any outside influence In other I words, there is no substantive growth I I This is highly desirable in a control system I Damping is used to force the performance to a sta- I Fig. 2. Network for technologists. I ble condition Stable by definition means there is I no building or growth I I I----A more significant observation is that many I Product Marketer Client systems can be regarded as open These have a con-

I L I tinually changing source of energy that is derived I Fig. 3. The client’s perspective. from outside the narrowly defined arena If a closed I system is a “zero-sum” game, then an open system I Under this structure, the individual risks are I can be described as a “find-more” game limited. Nevertheless, managers can draw on the I For example a nomadic society attributes value I financial strength of the suppliers. Different levels to hunting and herding skills and equipment I of risk are allocated to the independent entities. I Within the society, he who has the most arrows I The cost of manufacture and product develop- and can deliver them is the winner Others lose out I ment is concentrated at the most effective source. I on the available game This is a closed system I Cost of customer education and development is lo- Enter the agrarian society Game has less sig- I cated nearest the client. Cost ofvehicles and move- I nificance while land ownership, domesticated live- I ment is relegated to innovators. Cost of stock, and crops take on a new meaning The I coordination and responsibility for support is con- I technology advances allow the farmer to achieve a centrated at the manager. Improved cost, service, I more stable, greater wealth It is not at the expense I and access of goods are provided to the client. I of the hunter The skilled hunter can flourish and Within an information society, this is the opti- I maintain his limited wealth without interference I mum system [5]. The technologists in each of the I from the farmer as long as they avoid the same land corners of the triangle, the manager, and the client I The society, then, is not a closed, but an arche- I are independent. However, the network shown in I type ofan open system Outside energy comes from Fig. 2 makes a winning system for all. I technology development The technology provides I Although the support system appears as a trian- value to items previously without worth I gle, the client sees only a straight line. From his I Within a defined set of conditions, physical sys- I perspective, all the components are collapsed into a tems are closed However, technology, which is an I telescope under the marketer (Fig. 3). I outside influence, by definition creates an open I Many unfortunately feel they have no opportu- system for a society Unlike a “zero-sum” condi- I nity because there is nothing new to be developed. I tion, many can experience growth and wealth I This concept is steeped in the traditional without it being at the expense of others This is I technology-management-legal life cycle. In reality, I the model to be expected if the world is adequate 90% ofpurchases now are for things that did not ex- I for human survival and development I ist 20 years ago. New ways of doing old things and I development of new things are growing explosively. I Theory I The major wealth in the past 20 years has come of I Economic theory during the span of the United from managing, developing, and applying tech- I States has been built on the work ofAdam Smith in I nology to distribution. This includes directing in- I his 1776 tome The Wealth ofNatzons He discussed formation, moving products, and supplying I that the individual pursues his own selfish inter- I transportation. I ests In the process, an invisible hand leads to I achieving the best good for all From this comes the I I Theory of Technology philosophy of “what’sgood for (insert your own) is I One of the fundamental principles of science is good for the country ” I I the conservation of energy 161 In essence the law, The theory was replaced by John Maynard I simply stated, is “the sum of the energy in a sys- Keynes in the 1930s The pivotal work was ex- I I tem must be zero ” A variation can be restated as plained in The General Theory of Employment, Interest, I “nothing can be created or destroyed, it can only andMoney 171 Coming out of a depression, he ad- I change form ” vocated the satisfaction of the consumer From this

I ~

I I I I I theory, once a consumer had the immediate pri- I mary needs met, he would quit accumulating. The I I demand for products would reach a plateau. To I keep money flowing, Keynes advocated progres- I I sive taxation. The more money a person had, the I more he would pay in taxes. I I Paul Samuelson reflects the restrictive philoso- I phy in his perennial text Economics [SI. “Economics I I is the study of how people and society choose to Fig. 4. Growth. I employ scarce resources. ...” I I had an expanded I view in The Afluent Society [9]. In 1958, he ob- I I served “In the affluent society, no sharp distinc- I tion can be made between luxuries and I I necessaries.” As a result, there is a constant de- I mand for new and better things. I I Sixty years of economic experience demon- I strates obviously that the basic premise of Keynes I is in error. Consumer demand for products is never I I satisfied. Therefore, the progressive taxation ap- I proach must be in error. I Fig. 5. Control system model. I The consumer will gather goods until a desired I qaantity is reached. Then his focus will shift to I The relationship can be stated mathematically. I higher quality. Once that phase of the cycle is be- Wealth (W) is the product ofphysical resources (P) I gun, he desires a new quantity of the higher qual- I and technology (T)advances to the exponential I ity. The resulting quantity-then-quality demand power n fll. I creates an unending desire for new things. I I The economic alchemist Paul Zane Pilzer pas- W=P*Tn I sionately develops a theory of expanded wealth in I I his watershed volume Unlimited Wealth 111. The The theory categorically emphasizes that I early alchemists, in their attempt to make gold, I wealth is not a zero-sum game. It can expand. The I laid the foundation to modern investigative sci- exponent grows because technology feeds on itself I ence. Although a formula for gold was not found at I with positive feedback. I the time, in essence they achieved their dream to We have modified this relationship to fit closer I create value where none existed. Alchemists devel- I to a second-order model W = P * e Tn . oped the framework for pharmacists, chemists, I Traditionally technology has not advanced very I metallurgists, and engineers. rapidly. Therefore, wealth was proportional to the I Building on this definition of scientific devel- I physical resources one could accumulate or control. I opment, Pilzer has formulated the three basic ten- This carried from the nomadic society through the I ets of the Theory of Alchemy: I agrarian society. Technology was virtually flat, as I 1. Technology is the major determinant of shown in Fig. 4. I wealth because it determines the nature and supply I Advances in technology brought in the indus- I of physical resources. trial society. Since the growth was slow, the one I 2. The advance of technology is determined I who controlled technology could control the I mainly by our ability to process information. physical resources and would have greater wealth. I 3. The backlog of unimplemented technologi- I A major paradigm shift exploded in the 1980s. I cal advances (that is, the technology gap) is the true The control on technology was broken. Informa- I predictor of economic growth for both the individ- I tion transfer was enhanced by the personal com- I ual and society. puter and the associated paraphernalia. With very I I little investment and training, anyone could have I access to technology. I I 1 Table 1. Manufacturlna/DistributlolI The present expansion in technology appears I unlimited. Later, we will illustrate the boundaries I on technology expansion. I I The major industrial corporations prevented I collapse by seemingly endless reorganizations. In I I reality, people were released from the corporate I motherhood. I I Ron Cost was aNobel laureate in 1991 based on I a 1931 paper, “Nature of Firms.” He proposed that I I /€El lndustry Applicutions Mugozine E March/April I998 @ ratzonal line contribution. Two other lines contribute. These are the emo- tion or deszre lines, and the physical or bzdget lines. The control system repre- sentation is shown in Fig. 5 If the equation depended on a sin- The very principle thut Provided the gle basis, then the basis would experi- theoreticul framework for the ence an exponential decay However, in this relationship, each of the terms megu-corporution now provides the on the right side are dependent on impetas to the mininul-sized entity feedback from the technology

.&ut can saccessj5ully network. Info = Fzlterl * Technology

Applzcatzon = Fzlter2 * InJo

This self-feeding causes a positive I feedback growth Traditional theory I a firm would grow until transaction costs (r)were a I indicates this is impossible for physical system I equal to inefficiency costs (I). because an explosion would result In fact, there is I I an information and technology explosion I T=l Positive feedback causes growth and expansion I Negative feedback causes control and stability I Transaction costs are the costs of doing busi- I Classical control theory dictates stability with I ness. When these are high, small businesses are no changes [lo]. This is required for physical sys- I kept out. Inefficiency costs are the burden added by I tems However, it is not desirable for economic sys- I a large company. When these are high, large com- tems To have growth, there must be positive I panies start a slide. I feedback It is critical that feedback from govern- I With the advent of information exchange and ment, education, and industry be kept positive I inexpensive computer technology, the cost of I A filter can have multiple effects on the signal I transactions have tumbled to the point any entre- First, the filter may impact the width of the infor- I preneur can profitably develop a business. The very I mation This chops off extraneous noise frequen- I principle that provided the theoretical framework cies and restricts the time response to provide I for the mega-corporation now provides the impe- usable value I tus to the minimal-sized entity that can success- I Second, the filter may impact the height of the I fully network. I signal The resistance or opposition will attenuate I the level and restrict the maximum value This is a I Theory of Information passive process However, an active filter with gain I Technology is inextricably linked to information. I will amplify the maximum value I He who has control of information controls tech- Third, the filter may influence the rate of I nology. We propose a mathematical relationship I change either as a velocity or a summation Fig 6 _I between the terms. illustrates filter action I A clarification must be made between data and I In reality, the continued growth in technology I information. Data is raw, often random noise. Data will be curtailed Often information is not effec- I must be filtered to provide valuable information. I tively or accurately transferred A backlog will re- I The information must be further filtered to pro- sult from applications not being developed to the I vide knowledge. Knowledge that is used is defined as I full capability Invariably history is not inter- Fig. is a control system model for I application. 5 preted correctly. I technology and information. In addition, government and social organiza- I We have linked the relationship between tech- I tion tries to regulate to protect an existing interest I nology and information, application, and history. I As a result, the growth will be stymied I Technology is proportional to the acceleration of I information, the speed of application, and the I changes from history. I I I rs' I d2 d I Tech = ~ (ZnJo) + - (Application) + d( history) I dt dt I I I The equation is similar in form to a standard I I second-order relationship. This is the cognitive or I rh I€€€Industry Applimtions Muguzine B Murch/April I998 ~

I I I I limits on Technology user is getting more and better equipment, but the I I We propose a relationship for the limits on tech- cost of manufacturing has not increased. I nology. Since costs of manufacturing and development I Level oftechnology is limited when Cojt oftech- are relatively insignificant in the later equipment, I I nology equals or exceeds perceived value. improvements in that area will provide little prod- I Perceived value (PV) is equal to functional value uct cost relief. The most substantial benefits are re- I I (FV) minus the change (d) in munufacture cost per alized in using technology to reduce distribution. I unit (MC), business cost of management per unit The major US. retailer has accomplished this I I (BC), and the distribution cost per unit (DC) multi- by minimizing the number of layers between the I plied by the number of units (NI. manufacturer and the store 111, 121 . Immediate I I communications are maintained with suppliers by I PV = FV-d(MC + BC + DC) *N computer links. Improved technology in material I I handling minimizes stocking. In addition, all I A technology gap (TG) exists when technology utilities and heating, ventilation, and air condi- I I can be implemented at a cost (TC) lower than the tioning for every store throughout the country are I benefit, but it has not been realized. controlled from one central location at the head- I I quarters in Arkansas. I TC = PV t TG A major package express company has accom- I plished this with a new airline for packages. All I I This relationship is the element in the feedback items from the central US. go to Memphis, Tenn. I loop on technology. There a tremendous sorting system reassigns the I I With these constraints, what is the most effec- package to an exit route. The process is totally I tive way to raise the limits on technology costs? automated using programmable logic controllers. I I Often the discerned functional value is the item All packages are reloaded on aircraft for distribu- I that must be clarified before broader implementa- tion. A package shipped to an adjacent community I I tion. If functional value is thought to be greater, will still be routed to the central sorting mall and I then perceived value increases and technology gap perhaps returned on the same aircraft. One major I decreases. Functional value can be raised I by items difference is the destination of the bag containing I such as increased reliability and added features. the package. I Another consideration for increasing value is by I Another major international distributor is us- I education, whether technically or through appro- ing computer networks for links directly with the I priate advertising. The whole quality issue comes I end consumers. The products are ordered via a I wrapped in the functional value. computer and modem. An advanced system is be- I The other option for improving perceived I ing implemented with direct, digital, two-way sat- I value is to decrease the product costs. These in- ellite communication that allows individual I clude total manufacturing, business, and distri- product demonstration. The requested item is I I bution components. shipped from a “just-in-time” warehouse to the I customer via a parcel express company. With prod- I I Shift of Costs ucts from more than 450 of the Fortune 500 com- I The efficiency of technology has lowered costs and panies, as well as thousands of other smaller I I increased manufacturing performance to the point vendors, listed in their system, the distributor has I that the physical costs are a minor component of pushed the application of advanced technology to I I delivered cost of products. A good-quality 15” distribution 15, 131. I color television in the 1960s cost more than $300. The major new companies and wealth created in I I A unit with better performance and more features the last two decades have come from organizations I now costs about one-half that amount in current that handle information and distribution. None of I dollars. It is even less expensive when corrected for I these are traditional heavy industry manufacturers. I inflation. Since inflation has increased by a factor I greater than four, the net effect is the electronics I I are an order of magnitude less expensive. I More significant is where the costs are incurred. I I The big trade-off is design and manufacturing ver- I sus distribution to the market. The historical rela- I I tionship is illustrated in Table 1. Each of the dates I represent a time block of approximately five years. ,Filter ~ I I The numbers are broad-based, high-volume I units. Even other equipment is impacted to a simi- I I lar extent. Because of the preponderance of tech- time I nology, more features are often added to older I Fig. 6. Filter action. I items at no incremental user cost. In essence, the I I Iff€ Industry ApplicationsMogozine m Marchhpril I998 m “traditionally secure” job, but with an increased disposable income and more independence The release of technology and in- formation has caused phenomenal growth in those quarters willing to No longer will lifetime em~~oymen,pt evaluate the risks and take advantage of the paradigm shift It appears that with one CQ~CHBbe alz ~p,ption. the alchemy theory of economics is at F.w,pthemore, a l$e,ptime of doing the least partially validated sdme thing is no tmgerpossz’ble. Two days’ articles in a national newspaper give a clue of the new para- digm “More Homes Get More than One Phone Number” indicates the ex- pansion of information 1141. “Ener- gizing the ‘Net”gives statistics about the growth of the number of sites on the World Wide Web of the Internet E151 Fig 7 illustrates the explosive growth in the People Placement early days of general application I Change is never pleasant. Although someone may I Another article on the same page [l6] provides I consider himselfprogressive, change creates a diffi- further data “Software Firms Tap Growth Poten- I cult situation. Changes provide two choices. Most I tial ” “Cyberspace Snares Entire Town in a Net of I simply try to cope. The alternative is to compare Business Opportunity” relates how the town-wide I new options. computer network in small, rural Lusk, Wyo , has I The restructuring of corporations has resulted I expanded global activity 1171 I in many job losses. These are unpleasant for the in- All these articles relate to one thing. It is not I dividuals. Nevertheless, there has not been a sub- I computers Rather, it is the release and expansion I stantial change in the overall unemployment of information to more people Technology is no I figures. What became of those released from the I longer in the exclusive domain of managers. I corporate culture? I The skilled“blzte collur” troops moved into other I Future for Technologists I jobs. Although the benefit structure may have Undoubtedly, the industrial sevolution begun I changed somewhat, the lifestyle often was not dra- I more than 100 ago has advanced past the roll-off I matically impacted. There remains a gap and need phase As a result, the major industrial corpora- I for additional skilled workers, perhaps in a differ- I tions are experiencing a deterioration of the empire I ent enterprise. 1181 No longer will lifetime employment with I encounters a more difficult situa- Unskilled labor one concern be an option Furthermore, a lifetime I tion. Since they originally had little performance- I of doing the same thing is no longer possible I based experience, they have no basis for learning a However, that is the good news Although I new function or job. The demand for unskilled capa- I change is seldom pleasant, the employed will have bilities is diminishing. The only option is often per- I to adjust to a different role The change in employ- I sonal service-based. Unless individual motivation I ment resulting from technology is good for society and moral responsibility are realized, those in this I When technology replaces a person, it provides I category are relegated to a greater and growing sepa- I more money to the owner of the technology In I ration from the rest of society. turn, more money is available to spend on other I The managers are more seriously rearranged. I I There is no longer a need for numerous middle I managers. Similar to those without a marketable - - - ~ I skill, these often take a lifestyle change. Those that 120000 learn and transition to become independent tech- nology managers flourish. 100000 The technologists, such as engineers, saw a differ- 80000 ent environment. Often they left the company but I 60000 were hired back as consultants. This outsourcing of technical requirements is a buzzword of organiza- 40000 tionally flat corporations. Others used their skills 20000 to begin new enterprises. Typically these practitio- 0 ners desire a secure environment where they can do ‘ April ‘94 Nov ‘94 April ‘95 Ocr ‘95 I their thing without involvement in extraneous ac- I l tivities. However, many find themselves without a Fig. 7. Internet connections.

IEEE Industry Applications Muguzine Murch/April I998 I non-necessary items. Subsequently, new enter- One major concern is analysis of technology. prises develop to support the new lifestyle. Technology is available with little investment and A few years ago, it took five years from con- training. However, this does not necessarily trans- ception to development of a viable, marketable late into an acquisition of knowledge. Reams of data product. Now, the life cycle of the technology is can be generated and large reports published. How- less than five years. This imposes unusual pres- ever, the reporter often cannot review the results and sure to remain current in the skills. But the real- determine whether they are valid. Even in valid in- I ity is that advanced skills are less necessary than formation, he cannot ascertain problem areas. I I an idea of how to use or apply an inexpensive Without an understanding of the underlying I mass-produced component. basic principle, grievous errors can be created. In I I With these dynamics, the more successful en- the industrial era, technical experts were available. I trepreneurs may have several separate businesses si- In this era, the artificial expert is considered the fi- I I multaneously. This provides a broad base to cover nal authority. Skill is still required to validate the I alternative impacts of technology changes. One artificial intelligence. Education must focus on the I may flourish while the others are in incubation. I fundamental principles without total dependence I The potential for technologists, technology on the technology. I managers, and entrepreneurs is phenomenal. The A second major concern is relationship with peo- I I information transfer makes it possible for those ple. A recent investigation revealed the time allo- I with a dream and a drive to reach fascinating new cated to tasks for engineers at various years into their I I altitudes. Each can develop his own business where careers (see Table 2). Tech is used to represent time I he wants. The information can be transferred any- spent on calculations and tasks relative to technol- I I where in the world within seconds [19]. ogy. Project represents time spent on project man- I How does anyone recognize an opportunity? agement, coordination, and people interaction. I I Three steps provide the key. Traditional collegiate education spends most of I 1. First, look for a wide technology gap between its effort on technical theory. Although it is a re- I available technology and that implemented by the quirement to obtain a position, it is not the major customer. factor needed to perform. Furthermore, technology 2. Second, fill the gap with a technology ready changes come faster than the educator can respond. to be implemented. Make the technology as trans- At best, the educator can hope to teach a couple of parent to the user as possible. basics and how to critically investigate alternatives. 3. Third, select a technology solution that can A separation was not made between the other be a building block for other things. For example, a project skills and the people skills. However, dis- cartridge recorder requires cartridges and pro- cussions indicated that the senior individuals spent gramming for the medium. more than 50% of their time dealing directly with The greatest asset exists where there is the wid- interpersonal relationships. I est technology gap. However, the gap must result This is a shock to the technocrat. As a group, in- I I from increasing technology not from a stagnant or dividuals tend to enter the field because they would I decaying society. rather deal with things than with people. After all, I I One new criterion is imposed on the entrepre- things are predictable according to a formula. Peo- I neur unlike anything in the past. Although he is ple are not. I I independent and may be physically isolated, he is At first blush, one would expect the information I completely dependent on a network. Without oth- age to be the haven for hiding ofthe technocrat. The I I ers who are aware of his skill, he has no market, nor opposite is true. To be effective in this era, everyone I anyone to market for him. must operate within a network of people. That re- I The network becomes the order ofthe day in the quires very substantial people skills. information society. Engineers will exchange skills Another change necessary in the educational with practitioners of other disciplines. mix is the necessity for continuing education. Be- Furthermore, the technologist will become a cause of the dynamics, recurrency training and in- marketer. The engineer must move frorn a focus struction in new developments and rethinking old only on technology to a focus on people. Other- problems become a routine part of the work pic- wise, there will be no market for his talent. ture. Seminars, short courses, and professional soci- Although change is seldom comfortable, it ety conferences become the norm and are a crucial provides the opportunity for personal and profes- component. These even are requirements for many sional development. The future is bright. The op- professional registrations [20, 2 1, 22). tions are exciting. The effective individual has technical skills. These are applied to a distribution network. He has Future for Education economic and financial skills. These are applied to Education must undergo a substantial change. The his wealth. He has people skills. These are applied requirements are unusual.

lfEE lndusfry Applications Mogozine I Morrh/Apri/ I998 a I I I I I I to his growth network. The skills in each area must ment ofproject and people skills The other side of I I be enhanced by continual training. the training must include continuing education. I The key is simply a matter of control. The stabil- I I Future of Orgarizations ity of a negative feedback system has been traded for I the explosive growth of a positive feedback I The effective organization in the information age I has a very simplistic, distributed structure. Each I Acknowledgments I segment is independently responsible for main- I taining state-of-the-art performance. Many people contribute to the development of un- I conventional ideas. Richard Scott, M.D., motivated I 1.Technology comes from entrepreneurs with a I particular niche and creativity. They will con- us to expanded investigation Chet Sandberg, IEEE I stantly be changing their focus to address ad- Fellow, and Kaveh Ashenayi, bounced around the I technical solutions Robert Cotton, John Kasse- I vances. I 2. Manufacturing is provided by efficient con- baum, John Propst, and Gene Fagan, IEEE Fellow, I reviewed concepts and principles. I cerns that service several vendors. Efficiency is de- I termined by time and cost responsiveness. I References I 3. Marketing is done by entrepreneurs with a [l} Paul Zane Pilzer, Unlzmtted Wealth, The Theory Economzc I particular niche or clientele. of I Alchemy, Crown Publishers, New York, 1990 I 4. Distribution is accomplished by technology C21 Newt Gingrich, To Renew Amerzca, Harper Collins Publish- I managers who develop efficient dispersal networks ers, New York, 1995 I 131 Philip Kotler, Marketing Management, 3rd ed , Prentice- I for products and information. I Each ofthe entities must develop a support net- Hall, Englewood Cliffs, NJ, 1976 I 141 “Riding High The Productivity Bonanza,’ Buszneis Week, I work. Without a large, traditional organization, October 9, 1995 I interdependence will determine the success. 151 Bill Quain, Recluzmzng The Amertcun Dream, 2nd ed , Wales I Publishing, New Wales, PA, 1994 I Will major companies exist? Certainly, the I group that best manages an emerging technology 161 Gordon J Van Wylen, Thermodynamzci,John Wiley, New York, 1964 I will grow explosively [23}. However, these will I [7] John Maynard Keynes, The General Theory of Employment, In- I not make long-term commitments to a technology terest. andMoney, HBJ Publishers, San Diego, 1964 I or an employee. Paul A Samnelson and William D Nordhaus, Economtci, I {SI I A major paradigm shift has occurred in infor- 12th ed , McGraw Hill, New York, 1985 I mation, technology, and organizations. The accel- E91 John Kenneth Gailbrairh, The Aflluent Soczety, 4th ed ,New I American Library, New York, 1958 I eration of information and speed of application has I101 James Rowland, Lznear Control Syrtems,John Wiley, New I caused technology to expand at a near-exponential York, 1986 I I rate. The limit on technology is the perceived cost. I111 Vance H Teimble, The InsideStory ofAmerzca’s I A gap exists between technology advance and Rzchest Man, Penguin Books, New York, 1990 I 1121 The Wall StreetJournal, ‘Wal-Mart Set to Eliminate Reps, that implemented. Most opportunities exist in ap- I Brokers,” Dec 2, 1991 I plying available technology to bridge the gap. The I131 John Naisbitt, Megatrends, 1982 I I implementation should consider future spin-off and 1141 David J Lynch, ‘More Homes Get More Than One Phone I support systems as additional sources of revenue. Number,” USA TODAY, Oct 30, 1995, p B1 I Because of the rapid development, the inertia of 1151 “Energizing the Net, USA TODAY, Oct 30, 1995, p I B1 I traditional large organizations tend to make them 1167 James Kim, “Software Firms Tap Growth Potential, USA I I unresponsive. Hence the organization must be TODAY, Oct 30,1995, p B1 I pared to a flat structure. The most effective system 1171 Paul Hoversten, Cyberspace Snares Entire Town in a Net I is one with a network of independent manufactur- ofBusiness Opportunity ’ USA TODAY, Nov 1, 1995, p I ers, marketers, and transporters. Effective applica- A10 I I181 Bob Vandewater, ‘Greater Utility Competition Ex- I tion of technology in each sector allows I pected,” The Dazly Oklahoman, Oct 18, 1995, p 15 I tremendous cost benefits. 1191Frank J Denniston and Peter K Runge, ‘The Glass Neck- I Technologists typically enter the arena because lace,’lEEESpectrum,vol 32,no 10,October 1995,~24 I of an intense interest in things and how they work. 1201 M Dayne Aldridge and Paul M Swamidass, ‘Where I We re Headed IAS Membership Survey Results, IEEE In- I Traditional education focuses primarily on these I d~t~Applzcatzons, IBEE, Piscaraway, N J , vol 1, no 5, I items. To survive in the rapidly changing environ- September/Ocrober 1995 I ment brought on by their own success, technolo- 12 11 Linda Geppert, “Educating the Renaissance Engineer,’ I gists must develop exceptional communications IEEE Spectrum, vol 32, no 9, September 1995, p 39 I 1221 Dennis Kelly, ‘Adults Say Lifelong Learning Critical to I and people skills. I Job Success,” USA TODAY, Sept 13, 1995, p D7 I Education systems can complement the ad- C231 Dave Dooling. “Big, Bold, and Expensive,”IEEE Spectrum, I vances by focusing on basic systems and develop- vol 32, no 10, October 1995 I I I I I I I I

/E€€ lndustry Apphcotions Muguzine B Murch/Apri/ 1998