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Posts Tagged ‘Risk and strategy’

Knowledge Prostitution

November 5th, 2009 admin Comments off

After a discussion with a client today about privacy and data security in social networking, I started looking at physician portals and came across a fascinating post from Dr. Scott Shreve – Knowledge Prostitution enabling Aggregated Voyeurism: Is this a Business Model?

Voyeurism (voi-yûr’ ĭzəm) n.

1. The practice in which an individual derives pleasure from surreptitiously observing people.

2. Derives from the French verb voir (to see); literal translation is “seer” but with pejorative connotations.

The client told me that they were considering using a closed physicians’ portal to help market their products.  The business model used by closed, advertising-free, doctors portals (Sermo.com in the US or Konsylium24.pl in Poland) involves paying for market intelligence data collected from the “user generated content” in the community.   The tacit assumption is that physicians will talk freely inside a gated, advertising-free community.

Sermo.com kicks some of the revenue back to the users but the precision and recall of this market intelligence is not clear to me, considering the amount of noise in vertical social communities like Sermo and Konsylium24.pl and open social media like Facebook, Twitter and LinkedIn.

What is clear to me – is that there are data security and privacy implications when the community operator data-mines user-generated content for profit.  As a concrete example – a recent thread on Konsylium24.pl went something like this:

Doctor Number 1:

You know – Professor X is the KOL (key opinion leader) for company Y’s drug Z.  He says that drug Z is extremely effective for treating the indications of infectious disease Alpha.

Doctor Number 2:

Of course – Professor X is an acknowledged expert on infectious diseases, but he is also an expert on cash and knows how to do the math and add up the numbers…

I asked my client – “and for this kind of data, your parents sent you to medical school?

This took me back to the days of Firefly, Alexa, Hotbar and use of personal information as currency – collected with “collaborative filtering” and “automated inference” from people browsing the web.

Web 2.0 and social media seems to be going through a similar evolution as Web 1.0 – trying to monetize content by  data aggregation and analysis using “collaborative filtering” techniques.  This may have been a sexy looking business model for Venture Capitalists during the dot.com era, but in 2009 (5 years after Sermo.com launched) and a few months after their well-publicized breakup with the AMA; automated inference, knowledge prostitution and aggregated voyeurism may be  yielding to direct communications between people in B2B communities, social and professional networks.

Why peep through a window when you can just knock on the front door and ask?


The threat behind the House Tri-Committee Bill on Health Care

July 24th, 2009 admin Comments off

Federal Healthcare Chart

Don’t ask me why, but I was invited (and joined) the Pakistan Networkers group on LinkedIn.  I see all kinds of cool job opportunities in the Emirates which I can’t really take but the traffic is interesting.

I saw this picture in a post today from the Pakistan Networkers group. It graphically describes the complexity of ObamaCare:  the Obama health care reform bill.   I then sat down and started to learn more about this proposed solution to the US health care system that will cost over a trillion dollars in the next 10 years.

The Obama Health plan and the problems the administration is currently facing getting it through Congress is second page news here in Israel (front pages this weekend in Israeli papers are how Obama and Rahm are throwing their weight around and dictating to the Jews where they can live and not live….)

I started reading about the House Tri-committee Health Care bill and my eyes started popping at the cost and complexity of the proposal. I then read the response of the Mayo Clinic – Mayo Clinic’s reaction to House Tri-Committee bill and I finally realized that just like in Cyber Security and data loss prevention – the Obama administration is more interested in compliance and big government than customers and health, safety and security.

I’ve been arguing for basing data security product purchasing decisions on value at risk and cost-effectiveness of the DLP product in reducing the value at risk of a data breach. Therefore, it is  obvious to me that the notion of a value-based decision is an important cornerstone in redefining health care – see a discussion on pay for value in health care in the open letter to congress

Are you a leader or a friend?

April 13th, 2009 admin 1 comment

Although I served in the Israeli Army – I was what they called a “simple soldier”, a communications tech in a van. Our officer was glad that we kept things working – and that was fair enough we thought. After grad school, serving in the armies of high-tech samurai, I learned that commanders fight with the troops but leaders lead from the front – and being a friend of the troops disables your effectiveness as an effective leader/manager.

My friend Isaac Botbol has a leadership training business – he conveyed this message perfectly in his last news letter – “Are you a leader or a friend?”

Read more…

Understanding culture reduces risk

January 5th, 2009 admin 3 comments

It’s during the war on Hamas in Gaza and I got on a thread on a blog about why Islam is so violent. I explained that there are fundamental ideological differences between Islam and Judaism. For starters – Islam values land but not human life, Jews value human life and are willing to compromise on land.

On a much smaller scale it’s important to understand the culture in your workplace and manage in a fair process of being open and taking commitments,  Technical/professional skills are not enough.


Back in the 90s – when I worked at Intel Fab8 in Jerusalem, we were chosen to train about 150 engineers for the Intel fab in Leixlip Ireland. I had two Irish people on my team. In particular, I remember Ronnie Murray and Dympna  O’Connell (she told me – pronounce my name like “Debna”, you know like the DEC network adapter…) Dympna once worked for Digital Equipment Corporation and I spent years developing applications in VAX/VMS so we shared common language, the language of Digital networking equipment.

Before the Irish engineers came on board, we went through 3 days of cross-cultural training. We learned a lot, including how much Israelis and Irish are alike – strong family values, ties to country, religion (but not too much) and openness. Of course, the Irish can drink us under the table – which is probably why we had a such a great time.

My friend Isaac Botbol told me that there is a famous but true story about a Texas oil company that was intensely involved in negotiating a substantial business deal with a major company in Mexico. The American team spared no expense in flying their experts to Mexico and presenting the benefits and long term rewards of their state of the art equipment, hardware and excellent customer support. Throughout the negotiations and long hours of working together, both the Mexican and American teams developed a camaraderie and respect for each other.

The Mexicans were satisfied with the proposal and agreed to proceed with the deal. The Americans were delighted. They phoned their legal department in Houston and instructed them to fax the contract to their Mexican counterparts. Since they felt they had completed their job the American team jumped on the next flight back home.

The Mexicans were incensed! They wondered how the American team could be so rude and insensitive as to just fax a bunch of papers and expect to seal such an important deal after weeks of working closely together. The Mexican team refused to sign the contact tried to have as little contact as possible with the American team.

Eventually, when the Americans inquired about the delay and discovered what had happened, they immediately went into damage control. For the American negotiating team, the signing of the deal meant the final phase of a process. For the Mexicans, it symbolized the beginning of a relationship. They wanted to celebrate this milestone and make it personal. They wanted this important occasion to be marked by having all the major players and their spouses, from both sides of the border, to come together and enjoy a memorable dinner.

Fortunately, this story has a happy ending because the American team was able to recover and the deal was finally signed. The lesson from this incident is quite significant because it teaches us the importance of being aware of the different cultural perspectives. While the American business stance is to be task and results oriented, the Hispanic mindset places much more emphasis on the human side of business.

When dealing with customers in Europe (especially Italy, Israel and Greece) this lesson is just as valuable. Hi-tech sales and technology management is also about understanding the cultural differences. Whether they’re your customers, colleagues or direct reports – people want to see the business as well as the human side of your leadership abilities. They want to know that despite the language differences, you genuinely care about them and the work they do. Of course this is true in every workplace but driving home this idea and putting into practice, is much more difficult and challenging when there are different language and cultural expectations.

Deciding how much Risk is Acceptable

November 19th, 2008 admin 1 comment

The VCs all around are saying we’re headed into a nuclear winter.

What kind of risk are you creating when you fire the IT security officer?

When a company decides to fire a big piece of it’s work force – it’s to reduce costs in anticipation of reduced revenues. Risk management and IT governance runs a distant second and third when it’s a question of survival. The IT department is often in the line of fire, since they’re a service organization. The IT security staff may be the first to get cut since  companies view information security as a luxury, not as a must to run the business.

There is nothing in the information security policy of any organization that I have seen that talks about how to manage risk when 300 employees are being fired in a short period of time in a business unit.

A key part of formulating and establishing information security   policies for your organization is in deciding how much risk is   acceptable and how to minimize unacceptable risk. This process
initially involves undertaking a formal risk assessment which is a  critical part of any ISMS.  However – it’s a mistake to assume that risk assessment is a static process when the business is a dynamic process.  Risk assessment must be dynamic and continuous, moving at the front line of the business not as an after though or not at all.

The ISO 27000 standards provide some guidance on how this  risk assessment process is to be undertaken.  This guidance is   summarized and annotated below:

  • Use systematic approach to estimate magnitude of risks (risk  analysis)
  • Compare estimated risks against risk criteria to measure the  significance of the risk (risk evaluation)
  • Define the scope of the risk assessment process to improve  effectiveness (risk assessment)
  • Undertake risk assessments periodically to address changes in  assets, risk profiles, threats, safeguards, vulnerabilities and risk  appetite (risk management)
  • Risk measurement should be undertaken in a methodical manner to  produce verifiable results (risk measurement)

The stumbling block to doing continuous risk assessment is both world view (“hire a consultant once every 2 years to check us out”) and technical (“the cost of said consultant”).  The Control Policy Group in Poland has great  free ISO 27001 risk assessment software that can automate the process, save you money and help you respond fast to changes in the business. The software is based on the popular PTA (practical threat analysis) Professional risk assessment tool.