We spoke about globalization in an earlier post on some general terms – citing that it has taken a different shape or evolved. This article below however, delves deeper and highlights on nine reasons why this evolution will be forced to happen.
It is so well written, it covers all salient points and asks all the right questions – such as what we have pondered on the validity of GDP as a measure of success. The Intelligence Quotient (IQ) has of late been questioned as the main determinant of intelligence in the advent of Emotional Intelligence (EQ) and soon Artificial Intelligence (AI). Likewise, we must question the accuracy in the way the success (or disguised failures) of a nation is presented, and what we are told is required for this success to materialize.
We especially loved this analogy of the current world situation and if anything is to be taken from this article, this is it:
Again kudos to the author Gail Tverberg for this in-depth piece (featured on her website on 31 Jan 2018). In it, Gail touches on issues such as a population growth, a growing wage-disparity, heavy energy consumption, and the demand for cheaper alternative energy:
Before throwing our coins out of the pot or making second guesses about a big crash one must understand how the price of altcoins works.
The price of some altcoins on the trading market has a lot less to do with its intrinsic value. It is actually what individuals, and most traders (who seek only profit), believe it to be worth.
So, what is the reason behind the recent downward price spiral? Not much conspiracy to “ruin the cryptocurrency” other than an expected price correction coupled with some external factors.
Punters including ‘corner shop’ setups inflated the price with rampant price speculation. Speculation based on nothing more than historic (and a short history) rise of the price of the coin from only a few cents to almost $65 000 each (adjusted to 2021 all-time-high price).
The idea of creating an invention that performs a certain function quite soundly and then limiting its supply displays the financial clout of its creator/s.
That way, the natural laws of supply and demand would drive up the price of Bitcoin, as it became rarer though needed. It is already becoming harder to attain (through mining) and as it encroaches its supposed 21-million-unit limit.
“The fact that people keep talking today that bitcoin is below 10,000, it’s a disaster, or bitcoin is above 10,000 and that’s crazy. I think the fact that bitcoin is still alive, and attracting so much attention, is the fact that we’re talking about bitcoin in Davos with a Nobel Prize winner, a central bank governor, and a seasoned investor. I think that’s a powerful tool.” – Jennifer Zhu Scott (Radian Partners principal) – 2018.
External influencers of price
But there are external factors that come into play that affected its speculative price. Factors such as the rise of other altcoins after the split in its technology.
Bear in mind that the blockchain code is open to anyone smart enough to develop and run a product on it. So, there is also some kind of a substitution effect as newer altcoins become more specific in purpose and faster in executing transactions.
This results in people switching from Bitcoin to the likes of Ethereum-run newcomers like DigixDAO. These new coins are doing well (if the rising price is an indicator) and climbing while others lose both intrinsic a speculative value.
External factors including market sentiments do in fact play a huge role in determining the demand for the product or service. In the case of Bitcoin, the closing down of some Exchanges in Asia as well as talks of heavier regulation. Such was mentioned at theWorld Economic Forum in Davos 2018.
Global leaders pledging to take tougher measures to regulate cryptocurrencies raises cause for concern for people with significant amounts invested.
So, the usage by criminals, for instance, has created a much-expected reluctance by governments and financial institutions to accept its legitimacy. There is also a constant and sometimes subliminal shift in thinking, as trading involves a lot of psychological and emotional play on buying behavior.
Buyer behaviour
One such example is the impulse people have when purchasing items that are supposedly on ‘special’ or at a low price. A 75% discount on a pair of shoes only tells you that the seller has marked it up so high that they could still make a profit when they knock it down by that much!
You only notices the price (before and after) the discount. This is without realising that it cost the buyer a fraction of both to produce, package it and get it shipped to the store.
The true value of ‘the shoe’ lies in the materials (quality) used to produce it for it to last long or give it its level of comfort (its true purpose). That and its appearance of course.
The “brand name and image” in this case can thus be compared to the speculative aspect of a commodity. So, a pair of pumps would sell (at a higher than normal price) if the likes of Beyoncé or Gal Gadot are seen wearing them. The same goes for sportspeople and the whole multi-million dollar/euro endorsement deals they carry. Their endorsement of a product thus ‘legitimizes’ it.
When global leaders, banks, and financial institutions raise concerns about cryptocurrency – it does the very opposite. This sets off-market panic and the selling-off we are currently observing.
The future of Crypto
So, what will happen from here on? Provided it is not outright outlawed. This is, however, proving to be difficult as even the South Korean government have now softened their tough stance on the Crypto Exchanges. This is after they discovered what a tax ‘gold mine’ Crypto exchanges can be. This is then when the speculative buying will begin again.
Investors who couldn’t purchase Bitcoins at levels above $20 000 will now be seeking an opportunity to enter the market.
Especially if it dips below the $30000 mark (it is currently $34 000). This with the hope to make some decent profit even if it just pushes back to $50 000. Some will hold on and speculate on a return to previous highs – and so the bullish and bearish cycle continues.
Authorities including the delegates at the Davos talks were in agreement, however, that they will want it at affordable prices. At a level that stays relatively stable, they may even start to consider it as ‘global legal tender’.
But that will be a long time, especially if traders continue to buy it speculatively to make profits. Those awaiting a total crash of Bitcoin, altcoins, or the blockchain, however, would have to hold their breaths.
The technology is indeed a game-changer and has already been widely adopted. It will only change form to be partially or fully regulated.
The core functions of blockchain-based currency will remain its main contribution to the evolution of banking and ‘money’ transfers.
Working in a service industry environment can come with its operational challenges. When you are dealing with customers, it is easy to get overwhelmed with contacts, referrals, emails, and appointments.
There are, however, solutions designed for small to medium-sized businesses, that will help you keep track of processes through well-coordinated business automation.
Traditionally, business (process) automation is the task of an individual or team overseeing the digital transformation of your company. This role has been refined into what is now formally recognized as a business analyst. It involves a highly detailed audit of your business’s processes and workflows.
This is priced as an input (operational) cost or some form of revenue. The business analyst is a role like that of a quantity surveyor – but essentially with operational software.
The aim is to minimize your operational costs while expanding revenue via the tools and processes used to run your business.
The online tools
A collaboration tool like Skype for Business can help you avoid unnecessary inter-departmental meetings. This would save you loads in travel, hotel, food, and other expenses.
A quick assessment or analysis can help you shift the focus and costs away from a non-responsive product to one that will drive profits.
If a potential product required more attention from a quality or marketing point of view, you can pick up trends using a good business intelligence (BI) tool.
The application would pool all your numbers (prices, product-related interactions) usually stored in your Excel sheets. You could then present in real-time to reflect sales, revenues, staff retention, product demand, elasticity, and return on investment.
These useful actions and reports can be performed with a few clicks of the mouse using the right BI software. Again. this saves you time in meetings and limits the unnecessary requests for data from your colleagues.
File-sharing made easy
That brings us to the next tool that helps you to collate data into central repositories for quick access. File-servers have existed for several decades but are outdated as they can crash. They can also slow down when overloaded or just not hold compatible data.
Secure online file-sharing solutions can help you resolve this. By “online”, we mean the data can be accessed remotely from anywhere in the world on any device with a broadband connection.
But what is the point of having data centrally stored when you cannot access it once you leave a certain parameter/network?
When it comes to security concerns (people outside the organization or worse yet – a competitor, accessing your data), you can rest assured!
File-sharing providers have long thought about it. After all, none of them want to get sued for losing your data!
Today several banks and even public institutions consume utilize cloud services for this very reason. Companies like Microsoft, IBM, and Google are making their services more secure as well as compliant to data storage regulations nationally or globally.
They are, however, forced to charge you a small fortune for that added service!
There several examples of how automation helps you streamline or improve operations. For more practical examples and a cost-effective and easy-to-use online tool that you can use, check out Messegely.
Consider social media integration (to where most of your targetable markets are). “Social engagement” is progressively becoming a buzzword.
Having applications that link to your Facebook, Twitter, LinkedIn and Instagram used to be ‘nice-to-haves’. They are now a necessity if you want to stay in touch with your audience or market.
Recognize the need & act!
The onus is on your business analyst to source the right (most effective) SaaS tools to help channel the digitalization of your company’s social and business operations.
Not doing this may leave you at the mercy of creative destruction. Consider companies like Yahoo, Nokia, and Blackberry.
Failing to adapt to a changing landscape or being rigid with the innovation. Nokia and Blackberry allowed Apple and Samsung to snatch their market share with touchscreen tech.
Failing to streamline how you operate can cloud your judgment. This will lead to you failing to even grasp what the customer needed in the first place!
Automation can help you pay more attention to the client’s needs because you spend less time taking notes. Instead, you will be able to perform the most important task when dealing with customers – listen!
Visit the resources page for an array of top-ranked automation tools you can use. These tools will ensure that you are being as productive as you can – saving you time and of course money in the long run.
I’m not quite sure if anyone has given some careful thought – in the heat of this ‘Crypto mania’. More specifically, have you ever considered the ramifications of the blockchain and its impact on the global economy?
This is an attempt to perform a calculated prophecy, based on the conversations we’ve had with like-minded visionaries.
An introspection into this ‘much-talked-about technology’ has led to endless possibilities.
Presently, every Tom, Anastasia, and Patel are pursuing short-term gains. You are all probably investigating ways in which they too can “cash in” by investing in new digital currencies.
This frenzy is mainly driven by how some of the altcoins are performing in value. Some digital coins are rising as much as 1000% in a ‘Crypto bull-run’. But the real appeal for digital “currencies” comes from the security, speed, and cost of transactions they facilitate.
A case for Cryptos
Most of you are understandably looking at it solely from an investment point of view – after all, greed never sleeps.
Also, let’s not forget the anonymity it affords one – great for criminals and money launderers. Because of the increased risk, monetary authorities and regulatory bodies will make a case for tighter controls.
They may even push for the outright banning of this new currency altogether.
Retail banks, are currently entrusted with the movement of your funds (electronic transfers) and are governed by economic monetary policy. This happens under the watchful eye of big brother – the Reserve Bank.
These commercial banks are the “primary targets” so to say of the blockchain. They were, therefore, the first to react by investing or attempting to start up their own blockchains.
Such projects, however, prove to be expensive and still risky ventures given that no-one knows the source and destination of the blockchain.
Banks are nevertheless having to either make quick decisions about whether they get on board or partner with developers of Cryptos such as Ripple).
We also look at other financial institutions such as credit lending facilities and money transfer institutions. They are also are naturally in partnerships with the banks. They, however, stand to get wiped out by the blockchain if you think about it.
Really, who would want to cough up a 10% commission or a transfer fee for money sent abroad to your family? You could simply use something like IOTA which, by the way, is as a Crypto hovering around 3-5 USD (at time of publishing) per unit.
It is capable of transacting very quickly and securely with no transaction fees!
And how so you may ask? Those details are listed clearly on their respective websites.
Peer review functionality
It is the belief that the plan for Cryptos’ was to enable anyone to have access to a shared (decentralized) peer-to-peer type service that enables the secure transacting of literally – anything!
You can look at the blockchain working in the same manner as BitTorrent or E-Mule(for those who remember that far back). In the way, that data, albeit mostly bootlegged music, videos, and software, was distributed and downloaded on the web.
“Blockchain is essentially a quick peer-to-peer transaction of digital currency”
The value of Cryptocurrencies is now driven by how well it works as a system. You must look more closely at the added value it can offer society from a functional, practical, convenient, and of course, cost-saving perspective.
A real threat?
So, what does that then mean for companies like Visa, Mastercard, or even a digital banking app like PayPal?
You can also imagine the implications for investment banks and their traders. That is if markets such as the very volatile foreign exchange (Forex) are completely abandoned and substituted by Cryptos.
There are now many an exchange for Cryptos in the appearing monthly. You will be able to switch or trade Bitcoin for Ethereum, Litecoin, IOTA, or Ripple.
Handy if you need them quickly for a specific transaction, country, or product that accepts digital currency.
More practical uses of Crypto
The purpose of ‘Cryptos’ running on the blockchain is, therefore, to change the way we transact and pay for goods and services.
The aim was to make it a ‘form of exchange’ but also to provide the resources for you to “mine” and own them. This can be an alternative income generator alleviating the need for job creation. It can also be a substitute vocation for those you who were perhaps made redundant by automation and AI.
So, once you mine the currency (provided you have the infrastructure and pay the overheads), you can use it to get the things you need or must pay for. Your electricity bill, for example, can then be processed and paid for directly from an IOTA-holding wallet.
Speaking of electricity, we came across a very insightful article (referenced in the resource section) focusing on the impact of energy consumption that global rampant mining will cause the price of electricity and the environment.
Coupled with the switch to electric cars this could surely force you to invest in better ways to generate electricity. That is if we are to maintain sensible levels of sustainability.
Whether the price of electricity goes up or down will be determined by how quickly energy providers globally will be able to meet this surging demand.
We can surely be in a position to observe the upcoming impact on electricity consumption from next year.
More and more of the global population are beginning to mine altcoins for themselves.
As we head into the festive season and bonuses are being paid out, be responsible for how you splash out. Do your research first – even if it means waiting a year to see how it all plays out.
I’m not quite sure if anyone has given some careful thought, whilst in the heat of this Crypto mania, to the actual ramifications of the blockchain and its impact on the global economy. So, this is an attempt to perform a calculated prophecy, based on the conversations had with like-minded visionaries. An introspection into this much talked about technology has led to endless possibilities and here is how:
Presently, every Tom, Anastasia, and Patel are pursuing short-term gains. Relentlessly investigating ways in which they too can “cash in” on the new digital currency from an investment point of view. This is mainly driven by how the altcoin is performing in value. But the real appeal for each digital “currency” comes from the security, speed and of the transactions it permits, as well as the fact that it is decentralized, free from additional admin charges and commissions.
Also, let’s not forget the anonymity it affords one – great for criminals, money launderers. Because of the increased risk, monetary authorities and regulatory bodies will definitely make a case for the tighter controls or the outright banning of this new currency altogether.
Retail and commercial banks, are currently entrusted with the movement of funds (electronic transfers) and are governed by economic monetary policy set up by the watchful eye of their big brothers – the Reserve Banks. These are the “primary targets” so to say of the blockchain, and were, therefore, the first to react by investing or attempting to start up their own blockchains. Such projects, however, prove to be expensive and still risky ventures given that no-one knows the source and destination of the blockchain.
Banks are nevertheless having to either make quick decisions as to whether they get on board (some are partnering with developers of Cryptos such as Ripple), or get left in the dust when it comes to adopting a disruptor that clearly works better than what they are currently using or offering to their clients.
But we also must look beyond banks towards institutions such as credit lending facilities and money transfer institutions, who also are in partnerships with the banks. They stand to get wiped out by the blockchain if you think about it. I mean, who will want to cough up a 10% commission or a transfer fee on money sent abroad to your family when you can use something like IOTA which, by the way, is as a Crypto hovering around 3-5 USD per unit. It is capable of transacting very quickly (even more so than the known altcoins as it uses a different technology altogether) and securely with no transaction fees. And how so you may ask? Those details are listed clearly on their respective websites. This begs the question – what does that then mean for companies like Visa, Mastercard or even PayPal?
You can also imagine the implications for investment banks and its traders if markets such as the very volatile foreign exchange (Forex) are completely abandoned and substituted by Cryptos. There are now many an exchange for Cryptos in the appearing monthly.
So, you will be able to switch or trade Bitcoin for Ethereum, Litecoin, IOTA or Ripple if you need them for a specific transaction, country or product/service that only deals in that digital currency.
While most people are understandably looking at it solely from an investment point of view – as greed never sleeps – its purpose is actually about changing the way we transact and pay for goods and services. The aim is to make it a currency not only accessible to attain but also if you have the resources to “mine “and own them, can be an alternative income generator alleviating the need for job creation – or a substitute for those who are perhaps made redundant by Automation and AI. So, once you mine the currency (provided you have the infrastructure and pay the overheads), you can use it to get the things you need or must pay for. e.g. your electricity bill can be processed and paid for directly from an IOTA-holding wallet.
And speaking of electricity, I came across a very insightful article (referenced in the resource section) focusing on the impact energy consumption that global rampant mining will cause the price of electricity and the environment. Coupled with the switch to electric cars this could surely force us to invest in better ways to generate electricity if we are to maintain sensible levels of sustainability.
Whether the price of electricity goes up or down will be determined by how quickly energy providers globally will be able to meet this surging demand. We can surely be in a position to observe the upcoming impact on electricity consumption from next year as more and more of the global population begin to mine altcoins for themselves.
I also believe that the initial plan for Cryptos’ was to enable anyone to have access to a shared (decentralized) peer-to-peer type service which allows for secure transacting. One can look at the blockchain working in the same manner as BitTorrent or E-Mule(for those who remember that far back). In the way, that data, albeit mostly bootlegged music, videos, and software, was distributed and downloaded on the web.
“Blockchain is essentially a quick peer-to-peer transaction of digital currency”
So, while the value of Cryptocurrencies is now driven by a demand in terms of how well it works as a system, we must also look more closely at the added value it can offer society from a functional, practical, convenient and of course, cost-saving perspective.
As we head into the festive season and bonuses are being paid out, be responsible for how you splash out. Do your research first – even if it means waiting a year to see how it all plays out.
Creative destruction has become our new favourite buzzword. It also aptly describes this new wave or phenomenon of Crypto-mania driven by the blockchain and its shining star – the Bitcoin.
Suddenly, people who normally would not bat an eye at trading are now asking how to invest in Crypto.
We must note that anything that goes up very abruptly and abnormally – eventually comes tumbling down. The same way the big dot.com bubble burst and left many in dire straits after they over-indulged in overvalued tech companies.
Turbulent history
Bitcoin will eventually find its peak and there will be a mass sell-out and a ‘crash’ at some point.
We even had the likes of an ironical skeptic – the dubious Ponzi-scammer dubbed ‘the Wolf of Wall Street’ Joel Belmont. He attempted to pre-empt a crash of Bitcoin.
The funny thing is, however, most of the critics are people who have not invested themselves. Perhaps they suffer from a case of ‘sour grapes’ or they simply don’t understand how it works to even get involved.
Doubt is prompted by fear of an unknown. Most investors themselves don’t understand the complex algorithms that went into designing the blockchain. However, it is proving to be resilient and gaining intrinsic value by the day.
A new industry borne
Bitcoin (at the time of writing), which was hovering around $17000 after breaking its latest resistance level, and poised to reach the $20000-mark.
Creative destruction does not result in the reinventing of the wheel. It does, however, make the previous version look ancient very quickly. So while Bitcoins may not even last long, it has brought about its add-ons or spill-over effects.
There are now hundreds of cryptocurrencies. While not all and most will not experience huge price surges like that of Bitcoin, Ethereum, or recently Dash, they are still in circulation.
One of the spill-over effect includes the creation of jobs for new entrepreneurs, gamers, and developers across the globe.
Though it might be too late for investors to delve into the above-mentioned ‘big boys of crypto’, institutions are constantly developing blockchain solutions.
The fact of the matter is that the use and process of a blockchain makes sense and will, and is in the process of removing the old currency system.
Now, this may take a while before it completely phases out fiat money. This will also hopefully, much to the delight of governments and fiscal authorities, help eradicate the scourge of counterfeiting.
Applications of blockchain
Think about the big picture, the blockchain technology will allow you or any institution smart enough to copy or modify a part of the anonymously written code. Blockchain is open-source, so anyone smart enough can create their own.
We can now have Crypto for shopping, for buying cars; getting your salary paid by a multi-national company irrespective of where you are based; or paying for using Internet services (IoT).
The latter already exists and is called IOTA – read more about it on the resources page.
This technology can enable one to find creative ways to monetize a cryptocurrency to serve any purpose. This while providing a secure and lightning-quick means to transfer funds.
Litecoin and Dash boast amazing speeds of under 10 seconds to complete international money transfers.
It would be interesting to observe any bank try and beat that without charging an arm and leg for that type of service!
The motor industry
The critics, who thought Elon Musk was crazy for inventing electrically powered battery motors to run engines and now trucks – are now eating their shorts.
Not only did Tesla´s market capitalization beat that of Ford and recently BMW, but it also outperformed petro/diesel-powered vehicle companies. Outdoing them in speed and performance, attractive looks, and practicality – Tesla is changing the motor industry.
Manufacturers like Volvo, Porsche have now rolled out their own hybrids cars. They are looking to go the route of fully electric motors within a short matter of years.
Such notable paradigm shifts in the way we do things embody the beautiful concept of creative destruction. Those that shun it get left behind. And while it is not all about the monetary gains, you can own the coins to use for transactions rather than for investment.
It will serve you better, in the long run, to get in the know of what is out there.
Beware of scammers
Be wary and vigilant, as like with money and investment, there are sharks out there (offering deals). The aim is to exploit you and many other unknowing technophobes looking to make a quick buck or two from Crypto.
Mining Cryptocurrencies (is particularly conducive for gaming enthusiasts) and using them to benefit you quickly and securely in the way of a new digitized future.
Some Internet pirates in desperation use anonymous digital currency such as Monero. They now use java-scripted mining devices(hidden behind ads) to drain hash power unsuspecting from your web-page browsers.
The way forward
Everyone is trying to get a piece of the action! There are also legitimate paid commission-based add-ons for trading as well – opening up a new world of digital earning online.
Don’t get left behind. But as with any investment, and a caution to the wise: Cryptocurrencies are highly volatile, and should not substitute any investment portfolio. They should only and always account for a fraction of your overall investment.
The implementation of globalization has not been without its major flaws. Abolishing it, however, is paramount to anti-socialist behaviour or looking inwards. This concept is against the tendencies of human nature.
If you read up on any definition of globalization, you will see that the intention was always genuine. The need to integrate and collaborate for the mutual benefit of nations.
It can, however, like any product (like knowledge), be exploited out of selfish desires and lead to exploitation.
Of course, it also doesn’t mean that globalization must apply to every sector of your economy. Some inward investment is always healthy. It should, however, not lead to extreme nationalism for a fear of loss of national identity.
Trust issues
The problem, like many others, lies in the hands of politicians who are controlled and dictated to by a handful of large corporations. These ‘corps’ have one and only self-interest – profit, power, and control.
The main concern for sovereign governments is that ‘giving up’ or sharing one’s technological, innovative, or manufacturing secrets to other countries. The premise is that this would make them ‘vulnerable’.
The real issue lies in a lack of trust – leading to the notion: “I will not let you know how I do it because you may use it against me – in trade or war”.
Despite the existence of supposedly ‘compartmentalized’ trading blocs and free trade areas like NAFTA, EU, ECOWAS, SADC,etc, the rate of globalization has sped up significantly in the past decade.
This is due to boundless advances in information technology as accurately predicted by Neoclassical Growth Theory.
Information technology has now given us valuable new tools to identify and engage in economic activity.
Tech provides access to and faster, more informed analysis of information, transfers of assets, and collaboration.
The impact on finance
A globalized world means that with the aid of technology, you can buy and sell shares of an Italian firm from a desktop in Namibia!
You would then only have to deal with the commissions and transaction fees (capital gains tax) locally pertaining to your online trades.
And think about it, on a micro-level. If globalization is entirely a bad concept then no-one should be using Amazon, eating MacDonalds, or watching Netflix in protest. Hard to imagine, isn’t it?
We must praise its positive outcomes and work hard against the negative impacts. The negative ones are also giving rise to a new era of extreme nationalism or populism.
You can only do your bit by promoting and backing policy-makers who can enforce good trade laws. This would force both local and international competitors to play by the same rules.
Penalties for financial misconduct should be a lot greater to deter exploitation. Rather, perpetrators still get the proverbial slap on the wrist.
The creative destruction of the financial system will be brought about by cryptocurrency and its underlying blockchain technology.
Depending on its uptake, and whether the authorities can legitimize its legality, we may see individuals and governments using decentralized currencies.
The Venezuelan president is investigating the concept of a national cryptocurrency dubbed ´Petro´. They would use it to alleviate dependency on (heavily interest-ridden) loans.
As a young man born in and living in Pretoria South Africa, multi-billionaire Elon Musk – better known for pioneering the Tesla battery-operated motor concept – was shunned by the Industrial Development Corporation several times.
His innovative ideas were denied financial backing so he moved to the USA for better support. The rest as we all know is history.
The futuristic thinker, however, took a rather skeptical and worrisome handbrake-turn when it came to the topic of artificial intelligence (AI) and its benefits to society.
When a man like that with so much insight into technology warns of its potentially harming effects, it warrants notice. Musk warned that its use could foster ‘the coming of third world war’. We have to for such reasons, delve a little deeper into the topic.
We have rapidly progressed from longer periods of stone, iron, industrial, to that of space, technological/information ages. The world is now apparently fused between the latter three.
Despite skipping a few ‘crucial’ stages, we have now surged into the age of digital automation. This is while sadly still dealing with the ravages of poverty, disease, and irreversible damage to our environment.
Automation & AI usage
Automation is helping business through software like ERPs that take over traditional back-office finance and operations.
In the IT industry, the Internet of things (IoT), cloud services, and general Software as a Service (SaaS) have simplified things for IT managers. You can now just monitor and attend to more pertinent issues and tasks (hopefully not just stream movies and play games on duty).
While seated comfortably, you will be able to now perform tasks such as deploying new software, installing/removing updates on multiple machines/devices simultaneously. All with a push of a few buttons.
Trading bots
In the high-risk investment scene, automation has given traders more room for better research and analysis Thus relieving you from the known stresses and mundane tasks associated with trading.
For many trading houses and brokers, AI has even completely taken over the mundane task of making and executing trades.
Advert
If you haven’t already, read this great book entitled: The Fear Index(thriller by Robert Harris). Though fiction, it illustrates the use of a machine learning tool using algorithms to help a hedge fund company generate billions for its investors.
The use of AI is not without fault. It can also lead to costly system-generated errors like the trading error a few years at Goldman Sachs cost the firm $100 million and other cases.
Other use cases
It can still, on a ‘micro’ level, help free human capital (individuals) from PC-related issues. So things like having stress, headaches, backaches, and lack of time spent with family and friends can be a thing of the past.
In the industrial and manufacturing sectors, the advent of AI creates even more of a fear and a concern. The number (staffing) of redundancies, may increase when it is introduced.
This would require careful planning to ensure the blue-collars that are ‘replaced’, are compensated. More so, they would need to be incorporated into different areas of businesses.
Limits of robotics
Obviously, not every task need to be automated or performed by robots. We (as humans) are still required to check-up, inspect, and perform quality checks for instance. We can, as a result, deal with inter-personal jobs that require more empathy like in customer and social service.
More importantly, policies by governments will need to focus ever so more on job-creation. Governments must now adopt innovative means of creating jobs or foster and supporting entrepreneurship. Projects like those of Mr. Tesla/Mr. PayPal/Mr. SpaceX has created thousands of new jobs.
As for the use of AI in weaponry and military defense systems, the less said the better. When it comes to privacy and security concerns we can only hope that rogue politicians don’t get unregulated access to such technology. In such a case we would only be able to protest and hope not to feature in a real-life James Cameron sequel to Judgment Day.
When working in retail, finance, and manufacturing (sales) industry, you often come across one unavoidable piece of software.
A Customer Relationship Management software or what is abbreviated to CRM.
Now what really is really astonishing is when people ask how a CRM can actually help their business. Often one gets asked what CRM stands for or even means!
Now granted, it is a technical and industry-specific jargon depicting an online tool. More specifically, it is software used on hardware like PCs, tablets, scanners, point-of-sale devices, and modern cash registers).
What it does, however, is something many businesses both small and large take for granted – and mostly to their detriment.
The purpose
We use CRM solutions a lot more than we think. Take our Smartphones for instance: they are basically miniature customer (data or content) managing tools and though personalized, they serve the same function.
Now to put this into perspective very quickly and simply: our phones store and manage all our contacts. Our friends, family, businesses, and clients are kept in records primarily to help us access and communicate with them quickly.
Mobile phones, have also evolved to now enable you to not only manage your contacts to just make calls or send SMS. You can now share all sorts of content with via the various social media platforms.
Each of these platforms naturally has its own purpose and account. Android phones, for instance, come with (need to be activated by) a Google account.
You can then subsequently use it to access many applications (via an app store) and not just your email.
CRMs manage a company’s accounts in a similar way. They enable you to quickly get a hold of people to either sell directly to, create or follow-up on a sales lead, or nurture the lead until it becomes a sale.
This is carried out by software that sits on the front-end of a database stored on a local server or on the cloud. The software is normally user-friendly for it to be adopted and used frequently by end users.
This enhances your productivity and therefore increases revenue for your business.
Practical uses of CRM
They are used more by salespeople and staff of companies that offer a service via their customer support services or front-end teams.
So, when you call your local phone company because you are behind on a payment or would like to hand in a product for repairs, it is a CRM system that is used to log, track and manage the case till is solved.
The transcript, along with the call logs and resolutions are kept for a later date or time for if you make a follow-up call, request a new service. These records are stored in a database or what is called an instance.
Depending on what your company does, it will have several (national or regional) instances to help access data even faster.
A CRM can help you manage a healthy relationship with your clients to ensure that you are not calling them several times a day to put them off.
It will stop you from forgetting to follow-up on scheduled calls or emails or worse yet, sending them the wrong product or information about your offerings.
Salient features
A good CRM package also comes equipped with a means for you to create and store brochures, create effective and targeted marketing campaigns, generate quotes and invoices (PDFs). It will also come with a solid built-in knowledgebase.
This is a stored pool of resources containing processes and scenarios to help you quickly resolve a problem, prescribe a product or log a case.
And nowadays, like a mobile phone, a good CRM software can seamlessly help you integrate with social media platforms to follow, service or attract customers from those digital marketplaces.
Several CRM tools out there that offer different functionalities and depending on the size of your business, you can get a basic one that just manages your contacts and interactions.
Then you have ones that handle full-scale operations (back-office processes like warehousing, inventory, accounting, finance, payroll, and HR).
Those fall under another high-level category of CRMs known as Enterprise Resource Planning tools or ERPs. A topic for another blog perhaps as they are a totally different animal altogether.
CRMs are however, an component of ERPs and bigger companies would need both to handle large scale operations.
So you see how useful a CRM is in helping to run your company. They are now being even more automated with the help of Business Intelligence and AI.
That makes it even easier for you to use them to grow your business to levels where ERPs you would eventually need an ERP.
Many CRM suppliers offer free trials and even free online software, so take a shop around to see which one fits your needs.
It is quite hard to understand why anyone would bother to ask (sometimes silly) questions these days when answers lie within the tips of our fingers – literally.
Back in the day, we used to have the ordained task of trekking to school or public libraries, or in some cases, rely on the local nerd to help answer questions and grasp difficult concepts.
Most of you don’t realize it, but we carry information boxes via our smartphones and tablets daily. It is easy, however, to get bombarded by misinformation and what is now dubbed ‘fake news’.
This is why it’s important for you to be able to identify credible sources when conducting research or looking for quick answers.
Information overload
One source of information that we subconsciously consume daily is social media. Thanks to the advent of the Internet, news, and information can reach us within milliseconds.
We can now tune into local news broadcasts only to get things that are specific to our areas of interest.
A quick and ill-prepared online search for a diagnosis, however, can lead to you discovering that you only have three days to live.
Worse yet, you might even “uncover” an imminent evil ploy to destroy the world and have us living underground or under the ocean.
Not all such theories, however, are far-fetched. Soon we will be seeing flying cars and man-manned drones such as the EHANG 184.
And whether rumour of fact, these quick news snippets get us thinking and prompts further research into more credible sources.
Uses of social media
Your football clubs, politicians and musicians are all actively using them to break new signings, announce new albums or push new policy or campaign objectives.
In addition, most, if not all companies, banks governmental institutions and even religious organizations now have a presence on social media. They use it to aggressively promote their brands or agenda.
So, you see, ignoring the news and social media completely these days is the equivalent of retreating to a cabin in the woods or cave. You would be shutting yourself completely from family and the rest of the world.
A social media detox is probably not a bad thing to do. We often get overly bombarded by information. However, skipping a week can leave you feeling as though you just emerged from the stone ages!
Here is a quick guide to the mainstream information sources that you can use as starting points for your research.
The biggest search engine and while it generates more results (quicker than other search engines ) – it also naturally, carries a lot of misinformation.
Google specifically has great features such as the voice-activated ‘OK Google‘ feature. It is quite responsive and good if you can’t be bothered to type but need voice-activated quick responses.
You can quickly get the latest football scores, the next flight to Tokyo, or the latest stock price of Oil or Bitcoin.
Always a quick reference guide (commonly used here). Bear in mind that their entries are put together by ordinary people.
So while fairly accurate, you should cross-reference information there especially when it comes to dates and events.
The website, however, gets reviewed/verified regularly and is therefore still quite a practical ‘go-to’ source for you to get quick facts. Be wary of the usage of short ‘Wikis’ though.
For credible and simple to understand finance-related terms concepts on the go along with related news and great blog. They even have a great simulated stock trading game that you can enjoy.
Brandishing the iconic blue bird logo, Twitter is quick, instant, and addictive to some (no names mentioned).
Twitter is the best platform enabling you to announce and share information quickly via your mobile devices. News often breaks on it often before mainstream can media can announce/publish it.
It’s even quite common for news anchors to quote the tweet handle of a politician or celebrity when delivering news these days.
Launched as the first real (public) social media platform. It was designed to connect university/college peers. It has since grown to be the one source of finding your old flames, colleagues, family.
Authorities and companies are known to have used it to find out criminals or veto job candidates.
The platform was even allegedly used as a source for political campaigns and meddling with outcomes of a certain major presidential election.
It has, since its inception in 2004, been a place where many applications such as gaming application developer Zynga have made millions by capitalizing on our addiction to mobile games.
Facebook also has its other uses. It serves as a large marketplace to sell things, sends instant messages (with video-calling), and provides us with security alerts in times of terror attacks and natural disasters.
This app is important but often overlooked source of company information, recruitment, and career-building website. Though it looks similar to Facebook, it is more career-oriented and a great source for recruiters to head-hunt find you online.
LinkedIn gives you an extra professional ‘leg-up’ and even enables you to quickly convert your profile into a well-structured PDFed CV.
So useful, that it was acquired by Microsoft late last year. It is a powerful resource for their CRM solutions to be able to track individuals, companies, and decision-makers.
This has become a lot more than a place to post pictures of your dog´s gourmet dinner. This picture-based app has a fully-fledged marketing engine backed up by hashtags like Twitter. Like Whatsapp, it also now belongs to Facebook.
It has become a necessary tool for both, individuals and businesses and of course, celebrities like Kim Kardashian.
Instagram took over, in terms of popularity, the likes of similar older picture sharing platforms such as Photobucket or Flickr.
Owned by Facebook (if you didn’t know). This phone and the desktop-based app got their edge by taking over the SMS function from mobile operators.
We don’t send SMSes anymore. And if you still do, it’s usually because your phone is too old – or you are up to something shady! 🙂
Blackberry (R.I.P) started this idea with the BBM Messenger. But like others that tried and failed using exclusivity, not everyone wanted a Blackberry just to use that feature.
Enter WhatsApp with the ability to use your mobile phone number rather than the device itself to set it up. And just like that, it snatched up the whole market!
Running off Wi-Fi or your mobile data, you can instantaneously share videos, links, and pictures.
You can use it to host – or rather – facilitate group events like the planning of a surprise party, a birthday party. It can help you also get serious things done. You can collaborate on assignments, prepare a presentation, or (for start-ups on a low budget) launch a marketing campaign.
The funniest thing is how we now have people walking with more authority – with the title of “WhatsApp group admin”.
This animated short video-making application is more for the youth but you can also use it for enterntainment. Snapchat is used mostly by celebrities like DJ Khaled – who is often viewed as its ‘ambassador’. He even owns shares in the company.
It also has also recently surged in popularity (number of users) and earned a place with some of the business powerhouses on the NYSE.
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