Is Innovation Dead?Written by Rob Spiegel
You can tell it's quiet out there in world of new products when biggest introductions this season both come from Microsoft, X Box and XP platform. Though these new items are getting some buzz from tech journalists, coverage only comes because there isn't much else to write about. What I'm loudly not hearing is any street noise that would indicate real excitement.You can't blame this one on September 11. Even before terrorist attacks snapped us awake to dangers lurking in our world, consumers and business people alike had grown very ho-hum about tech introductions, from PCs to broadband. Have you noticed that urge to get newest, fastest computer or Internet connection is just not as pressing lately? In this drowsy period, optimistic blush has faded from Internet and from technology in general. Our expectations have moved into a long, slow decline. We no longer really expect to be surprised by reach of connectivity of by advances in quality of our life. Mostly I think we're hoping that odd, intangible decline we sense around us will not be too severe. Yet just as there was a crash hiding behind 1999 dot com explosion, there is an innovation boom growing stealth-like behind gloomy headlines of layoffs and sinking earnings reports. Ask any tech company about its design staff and you'll discover this is one pocket in corporation that is free from cutbacks and layoffs. This is not news to Gary Smith, chief analyst design & engineering at San Jose-based Gartner Dataquest research firm. "Design spending always goes up in a recession. You 'design' yourself out of a recession," said Smith. The analyst recently revealed data that shows an innovation spurt occurring as economy tanks. Innovation slacks off as spending climbs. Much of innovation that will drive coming upturn is being developed in a flurry of activity that is off radar right now. Don't let these quiet streets fool you.
| | Reducing IT ExpensesWritten by Richard Lowe
In these days of recession and layoffs, IT managers are facing some tough decisions. As my own boss put it recently, "if it's a choice between upgrading our Office suite or laying off some people, what do you think we're going to do?"With that in mind, there are a large number of things that an information technology manager can do to lower costs. Postpone upgrading software - I know we are all supposed to bow to Microsoft Gods, or at least open our wallets, but there is absolutely nothing in new Office XP suite that makes it worth upgrading from Office 2000 or even Office 97. In fact, if your company is using any version of Office it will probably be fine for another year. The same story holds true for everything else. I would recommend looking very closely at software upgrades of any kind during next year or two. As a manager, I personally find postponing some upgrades much more agreeable than laying off people. Renegotiate software and hardware contracts - Look at your contracts. Any coming up for renewal in near future? Call these vendors and discuss lowering rates. If salesperson does not cooperate, then work your way up organization board until you find someone who does cooperate. Negotiate hard - Money is tight, so slow down and let time help you negotiate. When you must purchase something, get bids from lots of companies and make it known they are in competition. Work them ruthlessly against each other and you may find rates going down like crazy. Want an example? I had to purchase an enterprise backup package recently. Prices started in $300,000 range, yet I took my time and let vendors work down their rates. Within 30 days, offers were all below $60,000 range! That's quite a savings for just a few phone conversations.
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