Module Four

            Vice President of Sales Engineering for Teletech was the position that my older brother held.  Teletech is a premiere Business Process Out-Sourcing company or B.P.O.  He designed computer solutions for businesses.  He would build entire dedicated systems which consisted of eleven-hundred servers that cost approximately twenty-nine million dollars to build.  They had thirty-two computer rooms with dedicated data bases to operate the system.  This system took his team two years to build.  He was also involved in designing and building the computer system for a call center.  They had two centralized locations, Denver, Colorado and Phoenix Arizona, which serviced the entire world.  Each centralized location had twenty-five hundred servers and three dedicated data base servers.  The call center had to have software for order entry.  The company out-sourced the building of the software to India, saving the company a large amount of money.  He designed the program using Windows as the base for the system and then used Fox Pro 1996, Oracle and Basic 2000 to help design the software around Windows.  He also had to build a C.T.I, or computer trust integration, into the system to connect the computers and the telephones.  This project took his team four years to finish.  He stated that computer technology doubles every eighteen months and they had to replace the computers to keep up with the changes in the speed and efficiency of the computers.   The cost to maintain these data base servers increased as well because the rooms that the servers were kept in had to be maintained at seventy-one degrees to keep the computers cool.  The computers run at such a high rate of speed that they need to be cooled down.

            He also designed Power Point presentations, system demos and mock-up demos to market their products and services.  He traveled all over the world showing presentations and demos to potential customers.  He also installed the systems he has helped design for various businesses and training their customers in the use of their products.  He has traveled to places such as Australia, Ireland, India, England and numerous states in the United States. 

            The other project that he was involved in was designing a call center for the 2010 Census.  They had seventy-four global centers, four mega data centers and seven hundred and fifty servers to support the 9.9 million calls that would need to be made.  There were eight thousand agents operating the telephones.  All of the hardware had to be converted from a premise base to a centralized base in order for the project to work properly.  

            The United States Department of Labor defines the duties of a sales engineer as a person who determines how products and services can be designed or modified to suit customer’s needs.  They also advise customers on how to best use the products designed for them.  They specialize in technologically and scientifically advanced products.  The sales engineer will help solve their customer’s problems after their product is installed.  They will also serve as a liaison between the customer and their company.  They may also be involved in market research.  The position of a sales engineer is very stressful as their job security depends on their success in sales and customer service.  Their positions often require them to work more than forty hours per week.  Their territories are normally large and require them to travel extensively.  They must also have excellent communication skills and must be strong in math.  A sales engineer is usually employed by companies that design and build technical products or work for independent sales firms.  The median wage that a sales engineer earns is $95,580.00 per year.

            The sales engineer position is a very fast-paced and demanding job as well as being highly competitive.  One of the downfalls of this job is the long hours that are required to complete a project.  My brother consistently worked more than the required forty hours per week in order to complete a project on time.  He is often gone on business trips for extended periods of time taking him away from his wife and children.     

            This is a highly competitive position that requires a person to keep up-to-date on the latest modifications to the computer systems and how they will affect their customer’s current programs.  There are many demands placed upon these individuals which require not only them to make daily sacrifices but their families as well.  The fast-paced world of high efficiency computers requires that they be updated every eighteen months.  Businesses need upgrade their computers every eighteen months in order to keep up with the demands of the world.

Module Three

            What are some key ideas that have changed business as we knew it?  One is off-shoring.  Businesses moving a factory from the United States to a foreign country, such as China, in an effort to cut costs for labor, taxes, health insurance and the cost of property.  Second, the development of a highly efficient supply chain that gives a company access to suppliers world-wide and product at the lowest cost.  Third, internet search engines such as Google, giving consumers immediate access to information, products and services they are in need of.

            When a company takes its factory and moves it from a location here in the United States to a foreign country such as China is called off shoring.  Businesses will make this move to not only decrease costs in labor, but to decrease their costs in health care, taxes and the cost of property.  The cost of living in other countries is less than that of the United States, providing savings to a business that chooses to operate off shore.  Businesses are finding huge cost savings utilizing off-shoring.  Those cost savings are essential for a small business to turn a profit. 

            Off-shoring differs from out-sourcing in that the actual factory is moved to a foreign country.  Out-sourcing is utilizing labor/services that are contracted outside the United States.  The concept of cost savings in labor/services is the same in out-sourcing and off-shoring, but the actual location of the company’s factory is different.  Out-sourcing is taking a function that is currently being completed by a business, such as research or taxes, and employing someone in another country to complete that task at a lower cost and then reintegrating it back into the business.  Off-shoring is a company taking their factory and moving it to a foreign country to produce the same product at a lower cost. 

            Freidman states that a supply chain is a large collaboration of suppliers, retailers and consumers to create the best value.  It is the ability of a retail company to collaborate with suppliers world-wide to obtain a product at a much lower cost and provide their stores with the product in a very timely manner.   There are many elements involved in creating an accurate, efficient supply chain.  A retailer needs to be able to locate a supplier that can provide the desired product at a much lower cost as well as lower shipping costs.  The company must then employ people to manage the supply and demand of the products.  Development of a system that can keep up with product demand in several locations and be able to get those items delivered timely to keep the shelves stocked and the store running smoothly takes careful planning. 

            Walmart has developed one of the most successful supply chains.  It has created a supply chain that can evaluate what product is in demand at which location and ship that product to that location quickly.  It has the ability to adjust what is being shipped to a certain location to prevent overstock.  If a product is not being utilized in a specific location that product is sent to a different location in which it is in demand.   Their system keeps overstock to a minimum and prevents them from losing profits.  They know what is selling in a particular location and when the supply is low and when a particular store needs a shipment.  They have a finely tuned supply chain that helps them operate very efficiently and at a much lower rate.

            Google.com is a large information system that can refer a customer seeking information about an item, particular service or product to a business located near that customer.  Google.com can refer the customer to several different advertisements for businesses that provide the requested service/product that they are in search of.  The consumer reviews the options given for their request, and chooses which company fits their needs.  Google.com is a form of advertisement for those businesses, providing businesses with access to potential customers.  Google.com also has the ability to adapt to their users and what they are in search of.  This gives the consumer great power to evaluate the information they are given, what they want and what price they want to pay.

            I have to agree with Freidman that one of the largest flatteners is Google.com and other search engines like it.  I personally use search engines on a daily basis and I am amazed at the information that is available at our fingertips.  These search engines have opened many doors that would otherwise be inaccessible. 

            I am fascinated by the business genius of U.P.S. and their ability to expand beyond just shipping products.  U.P.S. not only is a delivery company, but they have expanded their company to repairing computers and assembling products at their warehouses.  They have collaborated with many businesses seeking their expertise in shipping, repair and production.  They have collaborated with businesses such as Toshiba and Ford Motor Company.  I think what U.P.S. has done is simply amazing and a fine example of forward thinking. 

            The only item discussed in this section that I disagree with is the off-shoring.  I understand that it may be a great opportunity for American business now, but what impact will off-shoring have on the Unites States later?  Will off-shoring give China the advantage over the United States?  I feel that we will be hurt by off-shoring to China.  It has the potential to give Chine an edge on the United States.  The United States is losing precious jobs to other countries, such as China, because it costs a company too much to employ an American.  This is very concerning to me as we are giving away our job opportunities.  There may be a cost advantage now, but at what cost to the later generations of Americans?  I sincerely hope that America can remain strong and that Americans can remain employable.

            Business as we knew it in America has been expanded and we have been given many options to operate a successful business.  The development of the computer, the internet, off-shoring, out-sourcing, and highly efficient supply chains have greatly increased a business’ potential for success.

Module Two

            Software that allows employees within a company to have the ability to connect to the company’s data base remotely and conduct business from almost anywhere is work flow software.  This software allows the work to continue to flow day or night, from home, a hotel, or even a coffee shop.  Business can occur at a moment’s notice and from any place that wireless internet is available.  Access to the software is governed by a sign-in and password.

            I work for the State of Utah and we have a software program, VPN, that allows the IT department to connect to a computer state wide from their location at the Matheson Building in Salt Lake City to diagnose and fix computer and printer problems.  There was a time that the only way a computer or printer problem could be fixed was by IT sending a technician to your location to make the necessary repairs.  Now this can be done in a matter of minutes instead of a matter of hours.  This has decreased not only the costs in travel time for IT, but the cost of having a computer or printer inoperable for an extended period of time.  I for one am a huge fan of this software.  Sitting around watching your work pile up while your computer is inoperable was extremely painful.  This software is simply amazing.

            Open source software is both a cost saving and valuable resource.  Designing a program and then putting out on the internet for the other computer geeks to refine and expand upon is a concept of forward thinking.  There is no cost to download the software and if you use it as base for a product that you create to sell, all they ask is that they are given credit for their originating product.  Why wouldn’t you want your product improved upon for free?  The value of using the intellect of someone else for free is invaluable.  The perspective and ideas that another person can bring to a project is eye opening.  The other person is coming at it from a different direction and can add so much to a program.  I really like this idea of involving many programmers on the development of a software program.  This also shows to me that not everyone out there is greedy and that people do have the ability to share something amazing and not just be thinking of all the profits that will be gained.  It gives the intelligent, motivated individuals an opportunity to be a part of something that they may not otherwise have a chance to be a part of.  The end result is a much more powerful operating system for little to no cost.

            The use of skilled individuals across the world to complete tasks at a much lower cost is called out sourcing.  The idea that a business can employ someone from a remote country such as  India or China to complete a project at a much lower cost is a concept that many businesses here in the United States are starting to grasp.  The cost of living in other countries compared to the United States is much lower giving American businesses a chance to employ cheap labor and save money.  The fact that these countries are also in another time zone is time saving and cost savings for American businesses.  The projects are being completed in those countries while the American businesses are fast asleep.  Projects are able to be completed in a very timely manner with the collaboration of the employees here in the United States and the employees in other countries.  Our use of out sourcing not only strengthens the economy of the country that is being employed but increases the profits for the American businesses.  Although the use of out sourcing is a major benefit to the America, I can’t help but wonder just how it will impact the next generation.  Will out sourcing be the downfall of the blue-collar worker?  If we continue to out source work we consider to be boring and mundane, what type of work is left for the next generation?  What changes to our society as we know it, will come of out sourcing?  What image does this give the American people?  Are we too good to work for lower wages and that is why we have to out source jobs?  I guess when I sit and analyze this our children will just have to learn a new and different set of job skills.

            Although there are many questions for me about the use of out sourcing, the strides that have been made with the internet and all of its abilities are mind boggling.  It has only taken a few years for the world of computers to expand and grow to the level that it is currently at with more growth inevitable.  A person cannot just sit on their laurels and not expect to be left behind in the wonderful age of computers.

Module One - The World is Flat

Module One- The World is Flat

            Global integration is not a subject that I would have been interested in reading about; however, Freidman has the ability to put it words that are very easy to understand.  I found Freidman’s categorization of the three great eras as Globalization 1.0, Globalization 2.0 and Globalization 3.0 very fascinating.  Their titles remind me of a computer program or an application on a cell phone or iPad.  The way he describes how the eras are divided made a lot of sense and I found it easy to follow.  The concepts Freidman conveys in his book are enlightening as well as insightful. 

            Freidman classified the three eras in the following manner:

·         Globalization 1.0 covers the time period of 1492 to 1800.  This era took a large world and shrunk it to medium.  Freidman stated the key agent to change and global integration during Globalization 1.0 was how much brawn – muscle, horsepower, wind power, or later steam power – your country had and how creatively you can deploy it.  The countries and governments were working together for global integration.  The countries were flexing their muscle and showing their strengths and abilities.

·         Globalization 2.0 covers the time period of 1800 to 2000.  This era took a medium world and shrunk it to small.  According to Freidman, in Globalization 2.0 the driving force for global integration was multinational companies.  It was a time that multinational companies went global for markets and labor.  It was the age fueled by falling transportation and communication costs.  Friedman stated that the steam engine and railroad were the key agents in the lower cost for transportation.  The telegraph, telephones, PC, satellites, fiber-optic cable and the early world- wide-web were the key agents to the decline in the costs of communication.  During this era came the realization of the ability to have a global market and growth of global economy.

·         Globalization 3.0 covers the time period of 2000 to present.  This era shrunk the world from a small to tiny.  This era is vital in flattening the playing field.  Freidman stated that this is the era of individual power to collaborate and compete globally.  It produced what Freidman calls the flat-world platform, which is the product of a convergence of the personal computer with fiber-optic cable with the rise of work flow software.  This gave the individual more power to compete globally and be more successful.  This era differs from the others in that it is not just the Europeans and Americans that are successful.  Individuals of various race and color now have the ability to successfully compete in business.

            The Berlin Wall fell November 9, 1989, which according to Freidman, not only liberated the people from the Soviet Empire, but tipped the balance of power across the world toward democratic freedom and away from authoritarian rule.  Governments began to be run by the interests of the people rather that the whims of the leaders.  The doors were open to a global policy which paved the way for a single market, single ecosystem and single community.  Nations began working together instead of opposing one another and develop global policies. 

            The fall of the Berlin Wall also started the push for more freedoms which allowed more individuals greater opportunities.  It also paved the way for the development of common standards governing the economy, banking, accounting, and how personal computers are built.  According to Freidman, the adoption of the common standards flattened the playing field world-wide. 

            The development of the personal computer and then Window 3.0 were instrumental in allowing individuals to access, author, and share information world-wide.  Programmers were designing more applications to enhance a business’ productivity and increase profits.  Communication by email gave individuals the ability to correspond with others within their network and share information.  This communication was very limited as it was not able to cross over into another network successfully.  There was no guarantee that the person you sent the email to would actually receive it.  These systems were proprietary and prohibited users from sharing information with others outside of their network. 

            The creation of Netscape, a commercial browser, allowed communication between networks.  It was user friendly and allowed individuals to explore the internet with ease.  It opened up a new door for the general public.  It was the first system which had open standards to allow users to access information no matter which network they were on.  Netscape chose to remain public to ensure that information would remain accessible to everyone.  The developers wanted everyone to be able to access information and easily share it.  Soon others were able to see the benefits of having a public network, and being able to interoperate with other servers. 

            The growth of the world-wide-web and its abilities increased the potential of many people to compete in business globally.  It also gave America another source of inexpensive, efficient labor.  A business person now has the ability to out-source to other countries to accomplish a project at a more economic cost.  Businesses can to get a project completed by an individual in another country at a much lower rate with the same quality of work.  Many businesses that operate in America use out-sourcing to control costs.

            I found it interesting that tax returns for citizens of the United States were being completed out of the country through a VTR (virtual tax room), at a much lower cost.  Through global integration, there is a much larger resource of qualified individuals willing to perform duties at a much lower cost.  I did not think that there would ever be a possibility Americans would have this much competition for job opportunities on a global level. 

            The changes that have been brought about through global integration in a short period of time is astonishing.  No wonder a computer you just bought two years ago is now obsolete and is being replaced by a newer, faster computer.  Sharing information and being able to gather information globally is beneficial to all involved.  It is simply amazing what technology is capable of doing, and the doors that have been opened with the flattening of the playing field.  The benefits that can and will be gained from the global integration are seemingly endless.