Tag: proximity

The Next Great Leap for Social Capitalism

On July 17, 2010

The Knowledge inventory will become the most important element of Social Capitalism. Today, knowledge is largely sequestered behind the walls of corporation in the form of titles, skill codes, resumes, job descriptions, certifications, and college degrees. In order to predict the future, we point to the things that we have done in the past.

2nd Place is 1st Loser

10% of the country is unemployed and less than 10% are fully actualized in their profession. Competitive forces drive the hiring manager. The consequences of all business decisions eventually lead to win-or-lose market scenarios. People compete with each other for promotions, the boss’s time, the corner office, or just staying off the unemployment line. That is the only future anyone can truly predict based on the past. It’s easier to predict the loser than the winner – so that’s what happens.

Social media is very different.

People are organizing themselves in a new form outside the construct of the corporation. Linkedin aggregates intellectual capital, Facebook aggregates social capital, and You Tube aggregates creative capital. Millions of blogs, Twitter, and a generation of search engines reassemble all these parts in ways that create social value. People are not competing with each other, instead, they live on a bell curve. They are seeking cooperation and collaboration. People use “like” buttons, tweet counts, and analytic data to “value” the quantity and quality of another person’s knowledge. There are fewer losers, hence more winners, because there are a greater number of markets – not just one corporation. Everyone is a corporation.

No Governance, no anarchy, no problem

Since social media is outside the construct of a corporation, there is no governance. There are lots of people trying to control only to experience diminishing returns. Microsoft, Apple, Google, and Facebook must tread extremely carefully on the landscape of public opinion precisely because of their dominance. People use Facebook to attack Facebook, PowerPoint to attack Microsoft, YouTube to attack Google, and Twitter to attack everyone. Retribution would be suicide.

The Last Mile of Social Media

Now, geo-location services are filling in the Last Mile of Social Media where communities will form to produce things that are tangible and real. As a result, there is a sharp increase of interest in a form of currency that can represent this social value. Some of this is because the dollar is losing its ability to represent people’s productivity. So they engage a different economic system.

Social Productivity

The next great leap in Social Media will happen when people reorganize themselves in an external knowledge inventory, outside of corporations, and segmented in high granularity of knowledge assets in close proximity to each other. Entrepreneurs can then assemble people in unique, efficient, and productive ways. People will then build things for profit using a new currency – a new social currency.

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The Invisible People

By Admin

On October 16, 2009

In General Information

There is no knowledge inventory. There is no knowledge inventory. There is no knowledge inventory.

This is a stunning omission for a society that intends – no, a society whose future is irrevocably dependent on it’s ability to innovate it’s way out of inevitable monetary collapse.

America does not know what Americans knows. Entrepreneurs do not know what knowledge is available to them. Markets do not know the supply and demand of knowledge assets. The self-correcting magic of market capitalism is utterly unavailable if people and their knowledge assets are invisible.

There is a story out of the past mayor (someone who performed their civic duty to run for elected office) of Bennett Colorado who is one eviction letter away from living in a Ford Explorer with her 4 dogs.
Thousands of older Engineers are unemployed when Congress is crying for more Engineers. This is the reason why there are none – the career has been reduced to a lousy bet.
Experience is knowledge, yet older workers also have a tougher time finding new jobs once they become unemployed. The average duration of unemployment for those age 55 and older is almost 30 weeks.
About 38 percent of the older workers and 26 percent of the younger workers had been out of work for 27 or more weeks in June.

Our economy needs to be able to efficiently match knowledge surplus with knowledge deficit in order to produce things and educate each other. Diverse knowledge assets need to be combined in new and strategic ways. Knowledge assets need to be matched by proximity as well as innovation potential. Investors need to know the probability that a collection of knowledge assets can execute a business objective in order to decrease innovation risk.

Nothing can be accomplished without a knowledge inventory. We have empowered corporations to be the stewards of the US knowledge inventory and the associated innovation economy. Information, knowledge, and innovation act as a system. Without one of the pieces, you cannot have the other two. If we outsource the knowledge economy, we lose the innovation economy.

The great promise of Social Media is that the knowledge inventory becomes a public reference. People need to know what other people know so that they can build things.

Once you are outsourced – you become invisible. Who will be the next invisible person in your neighborhood?

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The Social Media Resolution; From Monet to Blue Ray

By Admin

On August 14, 2009

In General Information

The Convergence of Knowledge

The Ingenesist Project and related blogs such as Relationship Economy and now Conversational Currency have long predicted that the resolution of social media space will vastly increase from “Monet” to “Blue Ray”. The segmentation and convergence of social media space will happen on two fronts: Knowledge Inventory and Proximity.

From Strategis:

“As Facebook balloons to over 250 million users, many voice their appreciation for Facebook’s small social network feel. Unlike its so-last-year counterpart, MySpace, Facebook has successfully maintained a very personal feel, finding hundreds of ways to link the most relevant people, in the most relevant ways.

Even so, because Facebook has so many interesting people, useful content, and relevant apps available, many users would appreciate a broader search option that would enable the to quickly search ALL of Facebook’s content. Thus, Face says: “your wish is my command”. And so it is. Facebook has now announced that it will soon make the change allowing users to search the entire site, not to mention, do new things like share status updates with everyone, rather than just confirmed friends. Expect to see these changes in full effect some time within the next two months”

What’s in store for the next 2 years?

While the coolness of Social Media is still riffing through society as the late adopters drive huge growth, nothing “economical” happens until people actually get together and build something. In order to build anything, there must be an inventory of parts. All these parts need to be in physical or virtual proximity to each other. A financial system must support the initiatives of the entrepreneurs in any market.

The United States of Mind

We’re about 3% into this new paradigm today. At 20% the corporate structure will become increasingly mushy as many corporate functions are now handled in Social media space. At 30%, cooperation will “compete” with competition as a business model. At 40% a new currency emerges to hedge debt backed dollar with productivity backed “conversational currency”. At 50% people convert general dollar backed holdings to ‘conversational currency’ holdings. At 60% social priorities dominate corporate priorities. At 70% the Innovation Bond dominates financial markets. At 80% international borders become fuzzy as knowledge flows as easily as, say, avocados and T-shirts do today. At 90% global currency backed by productivity, dollar, Euro, Yen all expire. At 100%, the president is elected to a “State of mind”.

Hold on, not so fast….

OK, so that’s the problem with predictions, it’s hard to survive with one’s credibility intact. Kudos to Strategis for showing us the future!!

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How Does Social Media Affect GDP?

By Admin

On June 19, 2009

In General Information

Gross domestic product (GDP) is a basic measure of an economy’s economic performance. GDP is the market value of all final goods and services made within the borders of a nation in a year measured in Dollars. Globally, GDP is equal to the total monetary income generated by production of goods and services in a country.

Gross Domestic Product does not take into account many important variables accelerated by Social Media and growing exponentially in economic influence.

GDP counts only industrial output, but…

Industrial output is becoming increasingly dependent on social networks and social innovation. GDP does not take into account such non-market transactions such as open source development, crowd sourced innovation, conversational currency, social capital, creative capital, or intellectual capital exchanged between people in diverse social networks

GDP reflects Wall Street Priorities, but…

Wall Street Priorities are increasingly challenged by social priorities. GDP does not account for sustainable business practices, heroism, mentorship, activism, volunteerism, social networking, uncompensated innovation, and community involvement. GDP does not account for quality improvements and social multipliers such as aggregation of social media, increasingly powerful computers, acceleration of conversations, online etiquette, multi-media, and social editorial services.

All of the above exclusions are valuable, because…

These exclusions add value, they store value, they create value, they distribute value, and they exchange value. If we called it a financial instrument that is highly convertible, extremely liquid, and easily transported it would describe a currency by any definition of the word. For the purpose of this discussion, call this currency the “Rallod” – or Dollar spelled backwards. The Rallod is the currency of the new American economic and production paradigm.

The Invisible Currency

For Example; Twitter is doing in Iran what America has been trying to do in Iraq for 8 years. Face book, LinkedIn, and the entirety of social media space is producing many times the effectiveness of the $200 Billion U.S. advertising industry in terms of driving people to specific action. Social vetting platforms such as blogs, commentaries, groups, and content aggregation have increased the efficiency of markets by vastly reducing arbitrage opportunities while also identifying scams and corruption. Human productivity is being converted to Rallods and there is no politician, executive, or white collar criminal anywhere in the world who is not deeply concerned about this invisible currency.

The Best is Yet to Come:

The “Last Mile of Social Media” is analogous to the last mile of broadband Internet – the marginal cost of reaching every person in every household and tightening social networks to extremely high resolution, is diminishing rapidly. The Last Mile will bring communities together to vet local politicians, corporations, products, and policies. The Last Mile will formulate a knowledge inventory combines with close proximity of knowledge assets and a percentile search engine to predict outcomes. The Last Mile of Social Media will duplicate every function that exists in a corporation except it will be built upon the social media operating system; aggregated, amalgamated, sustainable, and reflecting social priorities.

So what happens to GDP?

GDP by current measure will reflect only the value of the “dollar”, not necessarily the value of the human productivity. Perhaps it already does.

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The Next Economic Paradigm

Tag: proximity

The Invisible People

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