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Five years ago, Planview CTA Mik Kersten outlined the “turning point” in his bestselling book, Project to Product: How to Thrive and Survive in the Age of Software with the Flow Framework. Without this commitment, consequences include slow delivery and increased technical debt.
Aggressive moves by airlines to migrate frequent flyer metrics from miles flown to dollars spent have caused bargain-hunting road warriors worldwide to whine about “disloyalty programs.” ” A PriceWaterhouseCoopers review suggests roughly 45% of flyers would lose under the new schemes. This shouldn’t surprise.
If consumers start turning regularly to smart speakers for their travel needs, they could end up interacting less and less with traditional airline, hotel, and even online travel agency brands. They also may provide airlines, hotel chains, and rental car companies more clout when setting up smart-speaker partnerships.
Although many people didn't notice, Nintendo took a similar route in the video game industry, where new technologies were making games complex; intimidating would-be players; and increasing R&D, manufacturing, and softwaredevelopment costs enormously. In the 1990s, low-cost airlines such as Southwest Airlines in the U.S.
Note that whether the technology used is “leading edge” is secondary. If it would have an immediate business impact, such as the impact that an airline’s loss of its reservation systems would have, then it is likely to be a key operational investment. They are driven by novel ideas or perhaps a new technology.
Indeed, software is emerging as the proving ground for the future of management practices, the way auto manufacturing used to be the proving ground for new management practices (think of the Toyota Production System ). Multi-function teams build software enhancements that are rolled up into “releases” which are deployed every six weeks.
Southwest’s mission of being the low-cost airline drives everything it does, from the planes it buys to the routes it competes on. One of the greatest challenges of managing an enterprise today is that technology cycles often outpace planning cycles , so firms find themselves constantly having to adjust.
When people talk of valuable platforms, they are typically thinking of things like the operating systems for personal computers, tablet computers, and smartphones, all of which allow and indeed encourage softwaredevelopers to invent “apps”; or the Amazon selling system which provides a layer of basic logistical functions for independent retailers.
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