Top 10 management models for your business #6: Social media ROI pyramid

13 August 2014 by in 100+ Management Models, Business and finance

Fons Trompenaars and Piet Hein Coebergh, co-authors of 100+ Management Models.

Model 60

Problem statement
How can one measure the return on investment (ROI) of social media?

Essence
Return on investment (ROI) is a key concept in business, describing when an investment will be gained back. For investments in social media, Jeremiah Owyang, management consultant at Altimeter, developed a hierarchy of metrics, depicted above, to merge various forms of metrics for social media, serving various stakeholders in different roles. This model attempts to fulfil the need of an increasing number of organizations that find it difficult to define critical success factors and key performance indicators for online communications in general and social media in particular.

Owyang proposes distinguishing different, but related, metrics for different layers in an organization:

  1. Business metrics, for executives (and ‘everyone else who supports them’), summarizing the social media analytics;
  2. Social media analytics, for the managers and employees who are strongly engaged in social media, focusing on how social media impacts business;
  3. Engagement data, for community managers and communications agencies, measuring the social footprint in detail (e.g. in clicks, followers, likes, retweets, views, etc.).

How to use the model
Owyang proposes five steps to start using the ROI Pyramid:

  1. Start with a business goal in mind: expect significant challenges to occur if your social media efforts don’t have a business goal. It’s easy to spot when this happens, as the goal will be getting ‘more fans and followers’ rather than moving the business needle forward.
  2. Give the right data to the right roles: not all roles require the same types of data; be sure to give the right type of data to the right segment. While all the formulae of the pyramid should be accessible by the corporation, understand the viewpoints needed from each vantage point.
  3. Tailor the frequency and quantity of data along pyramid tiers: recognize that executives need reports less frequently than the deployment teams, hence their size on the pyramid. Also, there is more data needed at the bottom tiers than at the top; remember the top tiers are roll-up formulae from bottom tiers.
  4. Customize formulae: as long as there are no standards in measuring social media, there is no need to wait for them.
  5. Benchmark over time and cascade to all layers of the organization. Note that the specific numbers aren’t as important as the trend lines over time.

In addition, Owyang found that organizations apply ‘six ways of measuring the revenue impact of social media’, of which three are top-down: anecdotes, correlations and multivariate testing. The other three are bottom-up: measuring the ‘clicks’ (see also under ‘engagement data’ above), using integrated software and measuring e-commerce.

Results
Applying the model may result in developing an overall dashboard for the organization to monitor progress of a company’s conversation strategy, or it can be used to help define which metrics need further refinement and how they connect with other metrics (as, for instance, used in a balanced scorecard) that measure success in corporate communications.

Comments
Measuring the effect of communications has been a challenge for as long as communications have been studied. John Wanamaker, a pioneer of marketing in the nineteenth century, said: ‘Half the money I spend on advertising is wasted; the trouble is, I don’t know which half.’ Some critics argue that science hasn’t made much improvement since. Especially in online communications, trial and error is inevitable in making progress along the new frontiers of global communications. Measuring the plans and results will at least contribute to learning from mistakes and, at best, guide the organization into the envisioned future.

Literature
Blanchard, O. (2011) Social Media ROI: Managing and Measuring Social Media Efforts in your Organization, Boston, Pearson Education.
Broom, D., McCann, M., Bromby, M.C., Barlow, A. (2011) Return on Investment: What Literature Exists on the Use of Social Media and ROI? Available online at Social Science Research Network.
Kelly, N. (2013) How to Measure Social Media: A Step-by-Step Guide to Developing and Assessing Social Media ROI, Boston, Pearson Education.

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Top 10 management models for your business #5: six stages of social business transformation

30 July 2014 by in 100+ Management Models, Business and finance

Fons Trompenaars and Piet Hein Coebergh, co-authors of 100+ Management Models.

Model 43

Problem Statement
How can organizations optimize engagement with their target audience through social media?

Essence
Charlene Li and Brian Solis, consultants and authors on social media and digital marketing, have developed a leading body of knowledge on how organizations can deal with the rising importance of transparency and engagement. Their model builds on the ideas of Groundswell (Li and Bernoff, 2008), describing how people increasingly connect with each other to be informed, rather than listening to organizations. The book describes how companies are becoming less able to control customers’ attitudes through market research, customer service and advertising. Instead, customers increasingly control the conversation by using new media to communicate about products and companies. Li and Solis observe that organizations connect with customers by taking the following steps:

  1. Planning – ‘Listen and learn’: Ensure commitment to get the business social.
  2. Presence – ‘Stake our claim’: Evolution from planning to action, establishing a formal and informed presence in social media;
  3. Engagement – ‘Dialogue deepens relationships’: Commitment where social media is seen as a critical element in relationship-building;
  4. Formalized – ‘Organize for scale’: A formalized approach focuses on three key activities: establishing an executive sponsor, creating a centre of excellence and establishing organization-wide governance;
  5. Strategic – ‘Become a social business’: Social media initiatives gain visibility and real business impact.
  6. Converged – ‘Business to social’: Having cross-functional and executive support, social business strategies start to weave into the fabric of an evolving organization.

How to use the Model
The model can serve as a roadmap for organizations to improve their engagement with stakeholders, especially through social media. A model to measure current engagement of an organization with its target audience is Li’s Social Technographics Ladder (Li and Bernoff, 2008). The ladder identifies people according to how they use social technologies, classified as creators, critics, collectors, joiners, spectators and inactives. Taken together, these groups make up the ecosystem that forms the groundswell. Each step on the ladder represents a group of consumers more involved in the groundswell than the previous steps. To join the group on a step, a consumer need only participate in one of the listed activities. Steven van Belleghem, from Vlerick Business School, has developed a three-step approach to setting up and managing a conversation on any level of the Technographics Ladder: observe the conversation you perceive as relevant as an organization, facilitate the conversation you want to create and join the conversation as a peer.

Results
Implementing the model as a roadmap towards more social engagement requires leadership in managing this change process. The authors of Groundswell suggest the POST approach for change, working with people (assess social activities of customers), objectives (decide what you want to accomplish), strategy (plan for how relationships with customers will change) and technology (decide which social technologies to use).

Comments
The impact of the Internet on society in general, and of social media in particular, has not created a paradigm shift in social science, as yet. In academia, the information revolution and ongoing digitization is mostly being explained by classic models, of which the most powerful are included in this book. Competing with these classics is a burgeoning variety of authors and consultants who publish all sorts of new models, mainly through media where displaying academic evidence is considered of low importance. The books of Li and Solis may not represent the state of the art in academia, but they do offer research-based, new, practical and appealing approaches in defining digital marketing.

Literature
Duhé, S. ed. (2012) New Media and Public Relations, 2nd Ed., New York, Peter Lang
Publishing.
Li, C., Bernoff, J. (2011) Groundswell, expanded and revised edition: Winning in a World
Transformed by Social Technologies, Boston, Harvard Business School Press.
Solis, B. (2011) Engage! The Complete Guide for Brands and Businesses to Build, Cultivate, and
Measure Success in the New Web, Hoboken, John Wiley.

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The Depopulation Time Bomb

28 July 2014 by in Business and finance, Codebreaking our future

by Michael Lee, author of Codebreaking our future

The future of nations is not written in the stars but in their demographics. In particular, a futurist can study national fertility rates, urbanisation trends and the age structure of population groups to get a picture of a country’s long-term future.

Remarkable polymath Benjamin Franklin was one of the founding fathers of America and, back in the 1770s, he enjoyed unbridled optimism about the future of his nation, which at the time was still overwhelmingly rural and comparatively “backward”. Why, then, was his prognosis so rosy? America’s birth-rate, he reasoned, was double that of Europe’s. Today, the position in America has been reversed and there are no grounds for any of Franklin’s demographic optimism. Between 1990-2002, the crude birth rate in the US declined by 17%.  Similar declines are happening right across the developed and developing world. Before discussing this in more detail, let’s paint in broad brushstrokes the background for understanding the world’s current demographics.

The stand-out feature of a general picture of population trends is the astonishing discrepancy between underlying demographics and the current distribution of global power and wealth. It’s this disconnect which highlights the spaces in which the international order is going to shift in the coming decades. One can map international influence against population profiles to highlight this incongruity.

Region

Total population

(in millions)

Annual rate of increase of population (%)

2010-2015

Asia (including Middle East)

4,254,524

1.0

Africa

1,083,524

2.5

Europe

741,971

0.1

Latin America & the Caribbean

609,807

1.1

North America

352,471

0.8

Oceania (Australia, NZ, Polynesia, etc)

37,775

1.4

World

7,080,072

1.1

Table 1: World Population at 2012

(Sources: UN Demographic Yearbook 2012;

UN Population & Vital Statistics Report Series A, Vol. LXVI)

Observe in Table 1 that only Africa’s rate of population increase is significantly higher than the rather meagre global average of 1.1% per annum. Populations outside Africa and parts of Asia are just not increasing with any kind of vigour.  You will also note that Africa and Asia (including the Middle East) together make up just over 75% of the world’s population at 5,338,048. By contrast, Europe makes up 10.5% of the world, Latin America & the Caribbean 9%, North America 5% and Oceania 0.5%. But something is interesting here. There is a complete mismatch between these population sizes and the distribution of global geo-political power today.

For example, if one estimates global economic and political influence by regions, it might well look something like this:

Global Influence

Figure 1: Estimated Global Influence by Region (Source: author)

In Figure 1, the dominant powers are North America and Europe, with 35% and 25% of global influence respectively. Next comes Africa and Asia together providing approximately 25% of the influence, Latin America & the Caribbean a further 10% and Oceania fighting above its demographic weight division at 5%.

Now, let’s turn to underlying population sizes for a completely different picture.

 Composition of World Population

Figure 2: Composition of World Population by Region (Source: author)

North America, with 35% of the influence, has 5% of the global population. Europe, with 25% of the influence, has 10.5% of the population. Africa and Asia, with only 25% of the influence, have 75% of the population. Latin America & the Caribbean have 10% of the influence and 9% of the population. And Oceania has 5% of the influence but only 0.5% of the population. This skewed distribution of power is bound to change on a large scale throughout this century.

Population sizes indicate the potential magnitude of an economy and its markets, in the sense that its citizens are the producers, the consumers and the tax payers. Of course, urbanisation and development levels have to be factored in, too, as do resources. In addition, the age structure of the population, whether it is young and growing or ageing and declining, is a key consideration. Crudely, though, the following mapping of global influence over population size provides a context for speculation on future shifts of influence, highlighting from which regions they are most likely to come.

 

Relative Influence

Relative Size

Probable

long-term shift

in influence

Asia and Africa

25%

75%

 Greater
Europe

25%

10.5%

 Lower
Latin America & the Caribbean

10%

9%

 Equal to
North America

35%

5%

 Lower
Oceania

5%

0.5%

 Lower

Table 2: Relative influence versus size to indicate potential shifts of influence (Source: author)

Table 2 is only a rough guide to potential future shifts of international influence based on the simple equation that size matters when it comes to economies, especially, as mentioned, when seen in the context of developmental factors and the age profile of the population in question.  (You are welcome to play around with the figures for estimated global influence by region to come up with your own “map”). The differentials between influence and size in Table 2 are:

Africa & Asia = 50% +

Europe  = -14.5%

Latin America & the Caribbean = -1%

North America = -30%

Oceania = -5.5%

These differentials show the conditions for extensive changes of power in the coming decades. It’s an X-ray of a future changing international order.

The population sizes for the countries in the BRICS trade bloc of developing economies, for example, are:

Brazil: 190.7 million

Russia: 143.4 million

India: 1.2 billion

China: 1.3 billion

South Africa:  51 million

If one takes the “CIA” regions of the world  – China/India/Africa – the population sizes are:

China: 1.3 billion

India: 1.2 billion

Africa: 1 billion

= 3.5 billion (about 50% of world’s population)

The size of potential new and extended markets in these CIA regions is vast and there is likely going to be an increasing wealth base and growing influence across these regions.

I regard demographics as one of the most impressive of all the social sciences. This discipline largely deals with real, socially significant population data. Its figures are squarely based on facts. This allows for robust, evidence-based reasoning. With demographics, we’re looking into a radar of the future.

Which brings me to a disturbing reality I wish to share with you today. Like the inferences made from the data in Table 2, this fact may appear, at first glance, to be counter-intuitive. I referred earlier in looking at Table 1 to the meagre global rates of annual population increases this century. Birth-rates are falling all over the world in deeply entrenched trends rooted in the very nature of modern society. A human depopulation time bomb is ticking.

Human population growth is decreasing at a rate which will imperil the global economy, destabilise some societies and ultimately threaten humanity’s prospects for survival.

US demographer and senior fellow at the New America Foundation, Phillip Longman, explains:  “World population growth has already slowed dramatically over the last generation and is headed on course for absolute decline. Indeed, forecasts by the United Nations and others show the world population growth rate could well turn negative during the lifetimes of people now in their 40sand 50s.”[1]

Longman is warning us that population growth for humanity is likely to turn negative around mid-century. This means the world’s total population size would start to decrease in absolute terms. If such a trend ever became irreversible, it would eventually lead to the extinction of the human race.

World Population graph

Figure 3: The rise of world population to its projected peak in 2050

 

Figure 3 indicates that the total human population may peak in 2050 at nine billion and thereafter decline year after year, decade after decade, generation after generation. It’s not a comforting thought that Population Peak for the human race is probably just up ahead of us.

Shrinking nations and families conjure up nightmarish scenarios of a declining world population. If sub-replacement fertility rates across the world continue compounding century after century, it’s a mathematical certainty that the human race will one day become extinct.

The core fact is that global fertility rates are half what they were in 1972. This is disconcerting given that fertility rates are what keep the human race reproducing itself. The fall in global fertility is the key global problem to address in this century.

The following data together brings home the extent of this trend, bearing in mind that the replacement fertility rate is 2.1 children per women and that, at the start of the 20th century, the global fertility rate was higher than five children per woman of child-bearing age:

  • The world’s population growth rate has fallen from 2% p.a. in the late 1960s to just over 1% today, and is predicted to slow further to 0.7% by 2030 and then 0.4% by 2050.[2]
  • 62 countries, making up almost half the world’s population, now have fertility rates at, or below, the replacement rate of 2.1, including most of the industrial world and Asian powers like China, Taiwan and South Korea.[3]
  • Most European countries are on a path to population ageing and absolute population decline[4], in fact, no country in Europe is demographically replacing its population[5] – “If Europe’s current fertility rate of around 1.5 births per woman persists until 2020, this will result in 88 million fewer Europeans by the end of the century.”[6]
  • Spain has the lowest fertility rates ever recorded
  • Russia, and most of the Balkans and Eastern Europe, are facing a fall in the size of their populations of between 13-35 % in the next four decades, with China’s starting to fall between 2030- 2035 and Thailand’s after about 2040[7]
  • Japan’s fertility rate is 1.4 children per women, one of the lowest
  • China’s fertility rate is between 1.5 and 1.65
  • Cuba has one of the lowest fertility rates in the world
  • Italy, once the seat of the Roman Empire that ruled most of the known world, has a disastrously low fertility rate of 1.2
  • Since 1975, Brazil’s fertility rate has dropped nearly in half to just 2.27 children per woman[8]
  • By mid-century, China could lose 20-30% of its population every generation[9]
  • By 2050, the median age of the world’s population will be 38 years, in Europe, 47, China, 45, in North America and Asia about 41[10]

It’s the scale of the depopulation problem that is daunting. Longman explains: “All told, some 59 countries, comprising roughly 44 percent of the world’s total population, are currently not producing enough children to avoid population decline, and the phenomenon continues to spread. By 2050, according to the latest United Nations projections, 75 percent of all countries, even in underdeveloped regions, will be reproducing at below-replacement levels.”[11] Consequently, he’s expecting the world population to peak around 2050.[12]

A silent demographic revolution is happening to our world.

Associated with human depopulation is the inevitable ageing of the global population. [13]  This will have dramatic, long-term impacts on economies.  Population trends drive changes across a range of fields from economics and finances to politics, from sociology to international relations. Ageing populations spend less and produce less, depressing business demand. Societies in Asia, Europe and the Americas are turning grey and there are concerns about the drain on public expenditure and the loss of national productivity which will ensue. Population ageing will place added burdens on both government finances and the working generation.  This affects the economy directly: “There is a reasonably robust theory…that suggests people accumulate wealth between the ages of 30 and 60 for retirement, after which they tend to save less or ‘dis-save’.”[14]

Longman establishes a link between demography and economics early in his landmark book The Empty Cradle: “Capitalism has never flourished except when accompanied by population growth.”[15] Businesses, he says, go where populations are growing, not where they’re declining. Why? Because there’ll be more demand for their goods: “More people create more demand for the products capitalists sell, and more supply of the labor capitalists buy.”[16] Here’s the simple equation illustrating the loop between demographics and economics: “Because of today’s low birth-rates, there will be fewer workers available in the future to produce the goods and services consumed by each retiree.”[17]

And here’s the result for the economy: “The working population of the United States essentially will wind up paying one out of every five dollars it earns just to support retirees, while simultaneously trying to finance more and more years of higher education…”, creating financial disincentives for families to produce many children.[18]

A stagnant population, in other words, is likely to produce a stagnant economy. When there’s depopulation, investment and business confidence eventually vanish, along with economic growth: “Without population growth providing an ever increasing supply of workers and consumers, economic growth would depend entirely on pushing more people into the work force and getting more out of them each day.”[19]

In sum, then, there are significant declines in birth-rates right across the world, sometimes well below replacement levels. The depopulation time bomb isn’t science fiction, it’s a matter of demographic fact.

The populations of major nations like Japan and Russia are already shrinking in size at worrying rates.

Japan, once the 2nd largest economy in the world, is now into its third decade of sluggish growth due to its twin curses of declining population and productivity and population ageing.  In desperation, it’s turning to robotics to inject new life into its zombie economy.

Similarly, Russia is facing its own depopulation bomb. It’s estimated to lose between 13-35% of its population size in the next four decades. In 1937, Russia had a population of 162 million. This has fallen to 142 million. It’s predicted to fall further to about 80-90 million by mid-century.  Between 1937-2050, then, the country’s population size could have halved. At a time when it’s once again emerging as an energy giant, its demographics, ironically, are undermining its future prospects. The demographic challenge of halting depopulation will be complicated by the presence of an estimated 14.5 million Muslims in the country which may threaten unity and heighten ethnic tensions within its borders.

As a futurist, I have to admit my blood runs cold when I consider such overwhelming and conclusive evidence of humanity losing its appetite to reproduce itself.

Acknowledgments

Longman, P. 2004. The Empty Cradle. New York: Basic Books.

Magnus,G. 2009. The Age of Ageing. Singapore: John Wiley & Sons..

“Population and Vital Statistics Report, Series A Vol. LXVI”, Population Division of the United Nations Department of Economic and Social Affairs Department of Economic an d Social Affairs Statistics Division. See http://unstats.un.org/unsd/demographic/default.htm

UN Demographic yearbook 2012 (63rd Issue), New York: 2013.

 


[1]  Longman, The Empty Cradle (2004)7.

[2] Magnus, The Age of Ageing (2009) 33.

[3] Magnus, The Age of Ageing (2009) 40.

[4] Longman, The Empty Cradle (2004) 61.

[5] Longman, The Empty Cradle (2004) 177.

[6] Longman, The Empty Cradle (2004) 67.

[7] Magnus, The Age of Ageing (2009) 158.

[8] Longman, The Empty Cradle (2004) 32.

[9] Longman, The Empty Cradle (2004) 11.

[10] Magnus, The Age of Ageing (2009) xxi-xxii.

[11] Longman, The Empty Cradle (2004) 26.

[12] Longman, The Empty Cradle (2004) 27.

[13] Longman, The Empty Cradle (2004) xiii.

[14] Magnus, The Age of Ageing (2009) 114.

[15] Longman, The Empty Cradle (2004) 4.

[16] Longman, The Empty Cradle (2004) 4.

[17] Longman, The Empty Cradle (2004) 19.

[18] Longman, The Empty Cradle (2004) 22.

[19] Longman, The Empty Cradle (2004) 5. Longman states: “A nation’s gross domestic product is literally the sum of its labour force times the average output per worker. Thus, a decline in the number of workers implies a decline in an economy’s growth potential…The European Commission…projects that Europe’s potential growth rate over the next fifty years will fall by 40 percent due to the shrinking size of the European work force.” Longman, The Empty Cradle (2004).41.  He further elaborates as follows: “Exploding health and pension costs, along with a shrinking tax base, diminish resources available to households, government, and the private sector for investing in the next generation, even as the need for human capital formation increases. Another reason is rooted in the realities of the life cycle. It’s not just that most technological breakthroughs and entrepreneurial activity tend to come from people in their 20s and 30s…an ageing population will likely become increasingly risk averse….” Longman, The Empty Cradle (2004) 43.

Codebreaking our future

 

Top 10 management models for your business: #4 Blue Ocean Strategy

16 July 2014 by in 100+ Management Models, Business and finance

by Fons Trompenaars and Piet Hein Coebergh, co-authors of 100+ Management Models.

Model 23

Problem Statement
How can we create a long-term plan for sustained competitive advantage by focusing on new markets, without focusing on competition?

Essence
Kim and Mauborgne developed their Blue Ocean strategy in 2005, building on earlier
publications that also explored the insight that an organization should create new demand in an uncontested marketspace, or a ‘blue ocean’, where the competition is irrelevant. In blue oceans, organizations invent and capture new demand, and offer customers a leap in value while also streamlining costs. The central idea is to stop competing in overcrowded industries, so-called ‘red oceans’, where companies try to outperform rivals to grab bigger slices of existing demand. As the space gets increasingly crowded, profit and growth prospects shrink because products become commoditized. Ever more intense competition turns the water bloody. Blue Ocean strategies result in better profits, speedier growth and brand equity that lasts for decades while rivals scramble to catch up.

How to use the model:
The authors provide many examples of businesses that have created new markets (blue oceans) and present a model for crafting supporting strategies.

  1. Eliminate factors in your industry that no longer have value;
  2. Reduce factors that over-serve customers and increase cost structure for no gain;
  3. Raise factors that remove compromises buyers must make;
  4. Create factors that add new sources of value.

In addition, Kim and Mauborgne list a number of practical tools, methodologies and
frameworks for formulating and executing blue ocean strategies, attempting to make the creation of blue oceans a systematic and repeatable process. In their 2009 article ‘How Strategy Shapes Structure’, Kim and Mauborgne stress the importance of alignment across the value, profit and people propositions, regardless of whether one takes the structuralist (traditional competitive, Porter-like) or the reconstructionist (blue ocean) approach to strategy.

Results
Blue Ocean strategy should result in making the competition irrelevant. Therefore,
organizations need to avoid using the existing competition as a benchmark. Instead, make the competition irrelevant by creating a leap in value for both your organization and your customers. Another result should be the reduction of your costs while also offering customers more value. For example, Cirque du Soleil omitted costly elements of traditional circuses, such as animal acts and aisle concessions. Its reduced cost structure enabled it to provide sophisticated elements from theatre that appealed to adult audiences – such as themes, original scores and enchanting sets – all of which change from year to year.

Comments
The logic behind Blue Ocean strategy is counter-intuitive, since blue oceans seldom result from technological innovation. Often, the underlying technology already exists and blue ocean creators link it to what buyers value. Furthermore, organizations don’t have to venture into distant waters to create blue oceans. Most blue oceans are created from within, not beyond, the red oceans of existing industries. Incumbents often create blue oceans within their core businesses. A similar idea was put forward by Swedish management authors Jonas Ridderstråle and Kjell Nordström in their 1999 book Funky Business. Blue Ocean strategy is an inspiring way to look afresh at familiar environments with a view to finding a competitive edge. Unfortunately, most companies have marketing and strategy departments that look for benchmarks to be inspired by and copy rather than trying to be different.

Literature
Kim, W.C., Mauborgne, R. (1997) ‘Value Innovation – The Strategic Logic of High Growth’, Harvard Business Review, January/February, pp. 103–112.
Kim, W.C., Mauborgne, R. (2004) ‘Blue Ocean Strategy’, Harvard Business Review, January/February, pp. 71–79.
Kim, W.C., Mauborgne, R. (2009) ‘How Strategy Shapes Structure’, Harvard Business Review, September, pp. 72–80.

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RoboFuture? Ten questions about machine intelligence

11 July 2014 by in Business and finance, Codebreaking our future

by Michael Lee, author of Codebreaking our future

[Originally published as a blog on the World Future Society website]

Ever since HG Wells wrote The War of the Worlds in 1897, various works of science fiction have speculated about the take-over of humanity by advanced robots or machines. Inventor and futurist Ray Kurzweil has gone several steps ahead of science fiction by working out an elaborate philosophy and pathway to a future governed by machine intelligence.

Kurzweil postulates that the Singularity will happen in 2045 when “the pace of technological change will be so rapid, its impact so deep, that human life will be irreversibly transformed” [Kurzweil, R (2005): 7]. It will represent, he claims, the “culmination of the merger of our biological thinking and existence with our technology…There will be no distinction, post-Singularity, between human and machine or between physical and virtual reality.” [Kurzweil, R (2005): 9] The non-biological intelligence created in the year of the Singularity, he states, will be one billion times more powerful than all human intelligence today [Kurzweil, R (2005): 136].

For computer scientist and science fiction author, Vernor Vinge, the core of the Singularity would be “the creation of greater-than-human intelligence” [More, M. & Vita-More, N (2013): 366] at which point all human rules will be thrown away in the face of an “exponential runaway beyond any hope of control” [More, M. & Vita-More, N (2013): 366]. After Singularity, Vinge and Kurzweil both proclaim, we’ll wake up in a radically new Post-human era.

I have several philosophical, logical, ethical, historical and futurological problems with the concept of the Singularity (which I will explore in future blogs) but today I simply want to adopt a common-sense approach. I want to ask 10 questions about machine intelligence. Readers can then answer each one as they see fit. The idea is to highlight the nature of machine intelligence compared to human consciousness.

While information technology has already attained unbelievable and revolutionary utility in today’s world, human intelligence, in my view, is far superior in virtually every facet to the intelligence within computer systems except for the processing, aggregating, calculating, storing and distribution of data at blindingly fast speeds. There have been several decades of worldwide research and development in the field of computers and so it is fair game to dig deep, at this juncture, as to the kind of intelligence which has actually been produced by computers in practice.

Here they are, then, ten questions to ask any man-made machine:

  1. Has machine intelligence ever independently produced an original idea, theory, philosophy or discovered any new principle or law of existence? This question concerns the capacity for sustained, original, creative thought.
  2. Has machine intelligence ever produced a unique, non-programmed story or created any imaginative literary work? This question relates to the power of imagination.
  3.  Has a computer ever spontaneously said “I love you” and meant it? Q3 is about personal, real-time communication.
  4. Has a computer ever said “I’m sorry” and meant it? This question relates to empathy, the skills of listening and emotional intelligence in general.
  5. Has machine intelligence ever invented or coined a new word or term? Q5 concerns original linguistic talent.
  6. Has machine intelligence ever made an independent, non-programmed decision about how to act based on conscience? This question is about ethics and a sense of justice.
  7.  Has a machine ever come up with a solution to a tricky social problem, solved a crime or adjudicated in a complex legal dispute? Q7 relates to the powers of deductive reasoning and lateral thinking.
  8. Has technology itself ever invented new technology, that is, have machines ever produced new types of machine no human had previously thought of? This question touches on the ability to be truly inventive.
  9. Has a machine ever had a religious or spiritual experience, an epiphany or eureka moment, said a non-programmed prayer, exercised faith or known awe and wonder? Q9 is about human spirituality.
  10. Has a machine ever made a spontaneously, personally motivated, non-programmed exchange with another being, whether some form of trade or extended social interaction? This question relates to the ability to engage in complex social, economic and political activity as a social being.

Aside from investigating the many technical and philosophical questions relating to the evolving interface between human and machine intelligence, these ten common-sense questions show it would be well-nigh impossible to mimic human consciousness and intelligence, let alone recreate, upload and surpass it, as proposed by Kurzweil.

Besides, do we really want to hand over control of civilization and human destiny to machinery?

Don’t we want to use, rather than become, technology?

Note: please feel free to send answers to any of these “ten questions to ask machines” to michael@futurology.co.za.

Codebreaking our future

Acknowledgments

Kurzweil, R. 2005. The Singularity is Near – when humans transcend biology. London:Duckworth.

More, M. & Vita-More, N, ed. 2013. The Transhumanist Reader. Chichester: Wiley-Blackwell.

 

New edition of 5,742 Days calls for drugs to be legalised and regulated

7 July 2014 by in 5742 Days, Lifestyle

Martha Fernback was 15 years old when she died on 20 July 2013 after swallowing half a gram of MDMA powder (more widely known as ecstasy).  Since then her mother Anne-Marie Cockburn has suggested that the criminalisation of drugs contributed to her death.                  

At Martha’s inquest in Oxford in June Anne-Marie made her strongest call yet for senior politicians to enter into dialogue regarding fundamental reform of UK drug policy. After the inquest she invited Theresa May, Norman Baker and Yvette Cooper to “start a sensible dialogue for change, from prohibition to strict and responsible regulation of recreational drugs. This will help to safeguard our children and lead to a safer society for us all by putting doctors and pharmacists, not dealers, in control of drugs.” 

Now a new chapter in the anniversary edition of Anne-Marie’s heartbreaking book 5,742 Days: A mother’s journey through loss brings the story up to date with the sentencing of the youth who supplied the MDMA, her public forgiveness of him, and her now public position that drug supply has to be taken out of the hands of criminals and given to pharmacists and GPs. The public response to Anne-Marie’s story has been incredible. She has received letters from all over the world, from prisoners doing time for drug smuggling, members of the House of Lords, other bereaved parents, to worried parents who have their own teenagers to contend with. It is for those teenagers that she has started her campaign. She writes:

“What is crystal clear to me now is that strict and responsible regulation of drugs is vital. This means taking drugs out of the hands of dealers and treating them in the same way as pharmaceuticals. Licensed drugs are labelled, ingredients are listed and necessary dosage information is provided.

Under prohibition, it is impossible to fully educate people as there is no way to tell what drugs contain, but despite this, many people are still willing to take risks.

It is important to stress that we need to do what we can in order to deter young people from taking drugs. However, had Martha known that what she was about to take was 91% pure, she would probably have taken a lot less, in fact I’d go as far as to say that she might still be alive.

Martha wanted to get high, she didn’t want to die. No parent wants either, but there’s one of those options that’s preferable to the other.”

9781908984333 small for AI

For further information contact:
Catherine Holdsworth: catherine@infideas.com

5,742 DAYS
A MOTHER’S JOURNEY THROUGH LOSS
(Special 1st Anniversary Edition)
Anne-Marie Cockburn
£9.99 | Publication date:  20 July 2014 | ISBN: 9781908984333
Paperback | 198 x 129mm |174pp | Published by Infinite Ideas

 

Notes for editors
As a legacy of Martha’s death, Anne-Marie set up a website to encourage others to become involved in safeguarding the lives of young people: http://www.whatmarthadidnext.org/