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Matter/Anti-Matter

November 11, 2009 12:09 PM PST

The psychology of healthcare reform

by Adam Richardson
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The House has passed the first comprehensive reform package of the health insurance industry in decades, which is now up for debate in the Senate. This is a highly complex issue, but there are some quite basic reasons why it's so difficult to accomplish significant reform, and in part these have to do with psychological responses to change and uncertainty. 

A few years ago I was fortunate to work with a couple of organizational consultants, and they introduced me to the concept of NICs and PUFs. These funny sounding acronyms give insight into why health care reform is so difficult for many people to support. (And once you have this shorthand for thinking about scenarios, you find ways that they apply in all aspects of life.)

The two acronyms, and their counterparts PICs and NUFs, refer to the likelihood that something will happen, whether the impact with be positive or negative, and how quickly the impact will happen.

PICs: Positive, Immediate and Certain. This is the best case--a good impact will be for sure happening to me soon.

NICs: Negative, Immediate and Certain. This is the worst case--a bad impact that will surely happen, and right away. People instinctively avoid these as much as possible.

PUFs: Positive, Uncertain and Future. Something good may happen, but if it does, it will be in an indeterminate future, and I don't really know how good it will be if it does happen.

NUFs: Negative, Uncertain and Future. The opposite of course, that something bad may happen at some point in the future, with an uncertain degree of badness.

Applying these to the health care debate, they clearly illustrate why there is resistance to reform.

The consequences of reform in terms of money-out-of-pocket, quality of care, and choice of care are all unclear for most people, naturally so since the changes are complex. It's therefore unclear whether the changes will be positive or negative in nature. Depending on one's financial situation, job security, and satisfaction with current health care service, one may be inclined to see the change going more in the positive or negative direction.

The battle over the public option partly revolves around whether people will get bumped off their existing plans and onto a government plan. This would represent potentially a large scale change, and again may be seen positively or negatively depending on one's circumstances. But when that switch may happen is unclear. Would the introduction of the public plan cause an immediate sweeping change as employers dropped their private insurance for the public plan, or would the status quo hold? Since this is unclear, people have differing opinions about how it will play out.

People who see PICs in health care reform obviously support it--they think it will bring positive changes, quickly. This may be because they stand to gain personally, or see immediate benefits for those who are currently under- or uninsured.

People who see NICs are against reform, believing that it will have immediate negative results, whether for themselves or others.

PICs and NICs are going to be hard for politicians to sway as they are pretty entrenched in their positions (anchored by the Certainty and the perceived near-term consequences). Immediate impacts, whether positive or negative, often have a more powerful influence than ambiguous longer-term ones. That's why dieting is difficult--immediate pleasure of a cupcake now vs possible ambiguous connection to expanded waistline later. It's also why saving is difficult--the benefits in the far of future feel less compelling that buying the latest gadget or trinket today.

It’s the PUFs and NUFs that are the swing votes in the health care debate, and here we are tending to see the “devil you know is better than the devil you don’t” dynamic playing out. With something as literally life and death as health care and insurance, the glass-half-empty NUFs tend to outweigh optimistic PUFs. If there is a chance of a negative result that you can’t define or predict, then it can seem safer to stick with the status quo rather than hold out hope for an ambiguous improvement at an indeterminate point in the future.

November 10, 2009 10:53 PM PST

Mad Men finale: So you like being in advertising after all?

by Tim Leberecht
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(Credit: AMC)

What a season finale it was. ‘Shut the Door. Have a Seat’ was a “tight balance of emotionally pungent drama and company coup d’etat,” the LA Times wrote. And indeed, Mad Men came through in the end. And all the mad men and women came through: Sterling, Cooper, Pryce, Pete, Peggy, Joan,  and, more than anyone else of course, Don Draper.

He took Conrad Hiltons’s advice to heart and instead of “crying and relying on other people’s moves” he became the master of his fortune and finally did something meaningful. You could see the glow in his eyes, the pride, and the deep satisfaction of someone who has found (or accepted) his calling. “So you like being in advertising after all?” Sterling asked (a rhetorical question). Facing a divorce from his wife and separation from his kids, Draper, for the first time, gained the stature of a man who has a moral compass. With faith both in himself and in others, the boss turned into a leader.

The final scene with the new agency crew gathered in the makeshift hotel room office poignantly displayed that Draper’s evolution mirrored the dramatic changes a whole society was undergoing at the time: Gender equality, democratization of ideas, flat(ter) hierarchies, and employee empowerment, and an angst, underlying all this progress, triggered by JFK’s assassination. “People used to buy things. Then something terrible happened. And people changed. They want different things now. No one really knows how everything’s changed. But you do,” Draper says in his pitch to Peggy, as he’s trying to convince her to join the new venture rising out of the ashes of the firm formerly known as Sterling Cooper. Although set against the backdrop of the early sixties, the Mad Men finale could be read as commentary on the current cultural climate. Times are as transformative as they were back then. The sentiment is equally nervous, and after 9/11 and the Great Recession people are looking for new meaning in a post-materialistic and, sorry Don, post-advertising world.

And yet, Mad Men’s finale represented both swan song and rebirth of an industry. It may be very American to consider every crisis an opportunity, and in this sense, the end of Mad Men season three was a genuinely American happy ending, or better, an ending with the happiest possible departure – the beginning of a whole new story. Peggy, the empathizer and Pete, the innovator, both had tears in their eyes when they were asked to join the new firm, because, at last, they were given the recognition they deserved, and the opportunity to “build something.” Happiness lies in its pursuit, as we all know, and the Mad Men finale reminded us of a great national pastime: If we throw all our talent and passion together, we can build something great. It can be an advertising firm, a movement, or an entire nation.

November 2, 2009 9:52 PM PST

The world's first crowdsourced creative agency

by Tim Leberecht
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It's always good to be the first, and while crowdsourcing, the trend, may have jumped the shark, a fully crowdsourced creative agency is a bold creative experiment and still news. Two Crispin Porter + Bogusky alums, John Winsor and Evan Fry, together with Claudia Batten, the founder of Microsoft-acquired video game advertising shop Massive, have launched Victors & Spoils (V&S), "the world's first creative agency built on crowdsourcing principle."

V&S says it will "provide businesses with a better way to solve their marketing, advertising and product-design problems by engaging the world's most talented creatives." The press release promises that "perceived crowdsourcing flaws will be addressed through world-class creative direction delivered through the use of the reputation-ranked Victors & Spoils crowd" but stays mum on how exactly the crowdsourced creative department will operate.

In any event, V & S is eating its own dog food. The first line you notice on its web site (after the humble "Welcome To Victors & Spoils. Let's Change An Industry") is "Why does this site look so plain, Jane?" and the answer is: because the site design, the look and feel, and even the logo are being crowdsourced.

Whether crowdsoucing yields better creative results, who knows? It certainly is a differentiator. V&S COO Claudia Batten twittered that she got calls from five Fortune 200 CMOs in the first five days since launch. We will follow this one closely.

November 2, 2009 12:22 PM PST

Forrester: Adaptive branding and the new four P's of marketing

by Tim Leberecht
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Forrester is about to release a new report on “Adaptive Brand Marketing: Rethinking Your Approach to Branding in the Digital Age,” in which it proposes replacing “brand managers” with “brand advocates.” Advertising Age provides a sneak peek at the ‘new 4 Ps of Marketing’ presented in the report: permission, proximity, perception, and participation. Other core elements include: “embracing an expanded role for consumer intelligence, focusing on strategic brand platforms, and empowering a federated organization."

A fervent advocate of marketing as a cross-organizational catalyst for change myself, I wholeheartedly agree with BBH Labs which believes the Forrester report points to a potentially larger opportunity for the discipline: “It’s not just the marketing organization that needs to reorient itself given the now normal digital age, but the company itself should consider how it reorients itself around its marketing organization. In most progressive companies, it is the marketing function that has most quickly and deeply engaged with the new interactive toolkit.”

This view is really becoming a groundswell, and you will be hard pressed to find anyone these days who would deny the profound change social media presents for all customer relations; the new need for openness, agility, and hyper-sociality; as well as the call for “networked” (or “federated,” as Forrester calls it) organizations. David Armano from the Dachis Group (“Social Business Design”), Francois Gossieaux (Beeline Labs), or Charlene Li and her Altimeter Group are just some of the pundits who have very succinctly articulated these themes.

Further reading:

HSM Interview with Amazon’s former Chief Scientist Andreas Weigend on the four P’s of marketing

Ogilvy and Acision white paper on advertising in 2020

Jones and Bonevac: "Should We Be In the Advertising Industry?"

Dave Evans: "Social Business: the New Black" 

John Ellett: "Marketing has changed"

George Potts: "Political Campaigns: The New Paradigm for Marketing Organizations in the Social Media Age"

Rob Rose: "Stop Being a ‘Data Driven’ Marketer"

October 28, 2009 8:52 PM PDT

California artist rebuilds world economy with antimatter

by Tim Leberecht
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The overlap with the title of this blog, Matter/Antimatter, is completely coincidental, but since most meaningful events are coincidental, it makes perfect sense that it prompted San Francisco-based conceptual artist Jonathon Keats to send me a note pointing to his upcoming exhibition "The First Bank of Antimatter."

Keats' previous artistic enterprises include applying string theory to real estate development, and in the wake of global economic collapse, Keats is now introducing a hedge against future catastrophe by creating a mirror economy designed to skyrocket as world markets plummet: the first holistic response to the great recession.

"Economic equilibrium is upset by our unbalanced pursuit of material wealth," explains Keats. "My plan is to offset materialism with modern science, by exploiting the economic potential of antimatter, which is the physical opposite of anything made with atoms, from luxury condos to private jets."

Backed by private Swiss funding, his scheme will be implemented beginning on November 12, 2009, when the First Bank of Antimatter opens in San Francisco's Monadnock Building, the location of Modernism Gallery. The bank will serve as a hub for antimatter transactions worldwide, eventually financing the building of antimatter infrastructure and providing the public with a full range of investment opportunities. "But our first order of business will be printing money," says Keats. "Cash is the foundation of any economy, and an anti-economy is no exception."

Issued in three convenient denominations, ranging from 10,000 positrons to 1,000,000 positrons, and initially trading at an exchange rate of $10 to $1,000, the anti-money will be backed by antimatter stored in the bank's vault. Because matter and antimatter annihilate each other on contact, antimatter positrons will be continuously produced on location by decay of the radioactive isotope potassium-40.

"We want our customers to be confident that the antimatter is available on demand, but we're advising clients to conduct transactions strictly in paper currency," says Keats, who has used his artistry to design the money in multiple colors including red, blue and green. "The paper is cotton rag, archival enough to survive economic Armageddon" he promises. "It's an essential asset in any balanced portfolio. Antimatter is a natural haven for wealth when everything becomes worthless."

Like advertising guru Rory Sutherland said at TEDGlobal: "Most of our problems are problems of perception." And: "We need more intangible value." I always knew we could rely on artists (and advertisers!) to (re)-build an anti-economy of meaning, and I am thrilled to see this vision finally materialize.

October 27, 2009 9:25 PM PDT

Lessons for Nook from Zune

by Adam Richardson
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Barnes & Noble nook e-reader (Credit: Barnes & Noble)

It's busy times in the e-book reader world, with Barnes & Noble launching Nook, Plastic Logic making noise about a new Que reader (no doubt to counteract B&N's announcement), and Amazon lowering prices on the Kindle.

The Nook is the device getting the most buzz, having been launched a few days ago. It's white, has an e-ink screen, and is priced at $259, all like the Kindle. But it also adds a nice color touch screen "strip" below that is used for browsing and buying new books. It's an interesting of-the-moment alternative to the Kindle's keyboard.

The Nook's biggest distinguishing feature is its ability to wirelessly "lend" e-books to another Nook user for 14 days. During that time the lender cannot read the book, just as if they'd handed over a physical copy.

This is very reminiscent of the sharing feature Microsoft built into Zunes from the start, in fact this was one of the Zune's biggest distinguishing characteristics from the iPod. However, it did not help the Zune get above single digit market share. So is lending (or borrowing) really a feature that people care about?

I think the Nook has a couple of things going for it that didn't work for the Zune.

1. The Kindle isn't a monopoly
The Kindle, on which I was unduly harsh when it first appeared, has been the most popular e-reader. But it does not yet have the massive market presence that the iPod did by the time the first Zunes came out. (Amazon has not released sales numbers, but TechCrunch estimates it somewhere north of a million.) This matters because lending and borrowing are only attractive if you believe there will be other people near by you whose taste you trust to borrow from.

The tide was clearly against the Zune by the time it came out, which did not give consumers confidence that there would be other Zune users to get music from. In that case, it was just safer to stick with the leader, the iPod.

2. Books are better for short-term sharing
Music is something that, if you like it, you will want to listen to for a long time. The Zune has quite strong restrictions on how long somebody can listen to the song after they first borrow it, and for the lender not all songs can be shared. This makes for a suboptimal experience for the borrower, and frustrating inconsistency and confusion for the lender.

However, with many books a single read will do, so a limited borrowing time is less problematic. It's why libraries worked for so long. (I'm not sure if the self-destruct on borrowed books starts from the time of lending, or the time of first reading. From a reader's perspective, obviously, the second is preferable since with our busy lives it might be a while before you get to starting a book.)

But Barnes & Noble should also take a lesson from Zune and apply the lending rules universally across all titles. Don't let happen what happened to Microsoft where the studios placed restrictions on certain songs and artists who were hot at the time. Barnes & Noble is in the fortunate (for them) position, however, that book publishers are in a much weaker state than music labels.

nook lending graphic

I can't help wondering if Barnes & Noble is pitching the wrong angle of lending, though. Lending is altruistic, whereas borrowing is selfish. If I'm a prospective Nook buyer, I'm more thinking about what's in it for me than how I can be beneficent to my fellow Nookies (Nook owners).

October 26, 2009 11:34 PM PDT

Social media count shows how active the social web is

by Tim Leberecht
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Gary Hayes little flash application shows how active the social web is. Hayes built the application based on data he pulled from a range of social media sources, which he compiled at the end of September 2009.  You can download his Social Media Count here.

October 22, 2009 4:49 AM PDT

Berlin Twitter Wall lets you write on history

by Tim Leberecht
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Upon the 20-year anniversary of the fall of the Berlin Wall, the city of Berlin has launched a remarkable “living” online memorial: the Berlin Twitter Wall.

Using the hashtag #fotw, people can share their thoughts on the Fall of the Berlin Wall and tell the world “which walls still have to come down to make our world a better place.” The Web site scrolls messages along a backdrop of the East Side Gallery, a famous stretch of the wall still standing and painted with murals. By clicking "stop" and "play", older tweets are shown. A click on the cameras up on the wall displays a selection of the domino-artwork that will fall in a symbolic act on Nov. 9, 2009 at the "Fest der Freiheit" (festival of freedom) at the Brandenburg Gate in Berlin.

I love how the Berlin Twitter Wall intersects history and real-time action, memory and instant gratification, gravitas with graffiti, concrete architecture and virtual realm--and make all of that open and social.

October 19, 2009 11:50 PM PDT

New perspectives on the work/(life) conundrum

by Tim Leberecht
  • 1 comment
(Credit: Digital Labor)

My mom always told me “Make your passion your profession, and you’ll be a happy man.” She was right, and I am glad I followed her advice. Yet I appear to be part of a minority. In an article about growing disenchantment at work (“Hating What You Do”), this week’s Economist cites a survey conducted by the Center for Work-Life Policy, an American consultancy. It found that between June 2007 and December 2008 the proportion of workers who professed loyalty to their employers slumped from 95% to 39%, and the number voicing trust in them fell from 79% to 22%. Furthermore, the article refers to a more recent survey by DDI which found that more than half of the respondents described their job as “stagnant,” as in “nothing interesting to do” and “little hope of professional growth" within their current organization. Half of these “stagnators” said they were planning to look for another job as soon as the economy recovered. These survey findings are flanked by several recent cultural events in the US that indicate a shift in the way we negotiate the meaning of work, for example Michael Moore’s “Capitalism – A Love Story” and a whole New York Times Magazine issue on “Anxiety.”

And yet, Americans will be surprised to hear that the most dramatic manifestation of this apparent misery-at-work trend occurred in “socialist” France. A spate of attempted and successful suicides at France Telecom that occured over the past twelve months, many of them explicitly prompted by stress and dissatisfaction at work, forced the deputy CEO to resign and sparked an emotional national debate about life in the modern corporation.

“You are what you do,” German philosopher Immanuel Kant contended long before we started talking about Work/Life balance. Having always been an idealistic concoction most fervently promoted by those biased towards Life, this balance wouldn’t even need to be promoted if it were indeed a battle of equal powers. It isn’t. Work has invaded every single aspect of our lives, and it has infiltrated our society Mafia-style: controlling and demanding every hour of our lives without appearing to do so. Increasingly, Work is no longer visible as such and is instead embedded into Life, which makes its power even more frightening: If you do things that are work but don’t feel like work, then Work has ultimately prevailed.

With the advent of digital media, the relationship between Work and Life has again dramatically changed. Social computing has turned the workplace into the living room and the living room into the workplace. For the digital knowledge workers of the attention economy, it has become harder, if not impossible, to separate Work and Life. The concepts of live-to-work and work-to-live, often pitted against as a clash of American and European cultures, are too one-dimensional to truly capture the reality of most professionals today. Work is Life, and Life is Work, and there is not much in between. The question is no longer how we can balance our digital lifestyle with our professional lives, the question is: How were we able to get any work done before the digital era? And how did we have a life before Twitter?

The new digital work lifestyle has profound implications for one’s (professional) identity: What do you do when everyone else does everything all the time? With everything and everyone connected, the once clear contours of our existence give way to an indistinguishable maelstrom of stimulation: the story of our life is no longer a curriculum, it is a non-linear stream. You can go swimming, fishing, snorkeling, and sailing in it. You can choose to stay on the surface or take a deep dive. But you can never leave. And you can always drown. With Work and Life being the Big Blend, it is shocking but not surprising that for some the only way to take a break from Work is to take a permanent sabbatical from Life, as in the case of the France Telecom workers.

The borderless Work/Life experience creates agoraphobia, an anxiety about an indefinite space of self-actualization possibilities and one’s position within. As Alain de Botton, the philosopher for the knowledge worker, put it: “It’s perhaps easier now than ever before to make a good living. It’s perhaps harder than ever before to stay calm and be free of career anxiety.”

The Economist suspects that companies aggravate this anxiety by a new, ill-conceived form of Taylorism: “Giant retailers use ‘workforce management’ software to monitor how many seconds it takes to scan the goods in a grocery cart, and then reward the most diligent workers with prime working hours. The public sector, particularly in Britain, is awash with inspectorates and performance targets. Taylorism, which Charlie Chaplin lampooned so memorably in ‘Modern Times,’ has spread from the industrial to the post-industrial economy. In Japan some firms even monitor whether their employees smile frequently enough at customers.”

These are all measures that will very likely deter Generation Y workers, the digital natives who have grown up with the Internet and expect organizations to provide them with much more ambiguity and empowerment than these were willing to give to their parents. For the Gen Y’ers, Work is no longer just what you do; Work is another way of Life – a meaningful life. It implies a Work-Life package that reconciles passion and profession, meaning and earning, impact and income. A good job is what you believe in – as long as you can abandon it at will. Sure, Work has become invasive, but so has Life, as work performance is being constantly disrupted by the micro-events in one's digital life feed (email, Twitter, blogging, social networks, etc.). Companies need to learn to convert this distraction into productivity. In fact, this might be the biggest management challenge for the next ten years: Learning how to leverage the tools of distraction to increase productivity – and happiness.

No matter where on the Work/Life continuum you’d place yourself, you will acknowledge the one premise that unites us all: how we are going to work in the future will determine how we’re going to live in the future. Consequently, the Berlin-based creative collective Palomar 5 believes that the best way to find out about the future of work is to let people from different backgrounds work together. Palomar 5 has therefore organized a six-week long Innovation Camp in Berlin that gathers, Big Brother-like, 30 handpicked uber-achievers under 30 to explore (and live together) a vision of work in the digital future. The Camp’s agenda and workflow have been carefully crafted and encompass various modules, guest experts, and collaborative creative assignments that tackle Work/Life as one big design challenge.

In a similar vein, The Internet As Playground and Factory: A Conference on Digital Labor will be held at the Eugene Lang College of The New School in New York City on November 12-14. An overview Introduction sets out the seminal questions arising “in the midst of massive transformations in economy, labor, and life related to digital media.” The conference is free, with advance registration required.

There’s no dearth of books on the subject either: If I had to pick two, I’d go with Alain de Botton’s The Sorrows and Pleasures of Work (with a poignant chapter on accountants) and Don Tapscott’s Grown Up Digital which provides a comprehensive overview of the aspirations and habits of the Gen Y workforce.

October 7, 2009 9:40 PM PDT

NPR hosts unique Digital Think-In with Silicon Valley thought leaders

by Tim Leberecht
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Forgive me but I have to plug something my company (Frog Design) is involved in. I'm only doing this because it is such a neat event: In collaboration with Frog, NPR will host a unique Digital Think In this Friday in our offices in San Francisco, bringing together 60 thought leaders at the intersection of media and technology to explore new approaches to content creation, distribution, and funding for NPR and NPR member stations.

Hosted by NPR CEO and President Vivian Schiller and Digital Media SVP and General Manager Kinsey Wilson, the Think In will harness the collective expertise and creativity of an exceptional group of entrepreneurs, executives, and innovators. Participants include leaders at the leading edge of technology and media innovation from academia, venture capital, internet design, public media, social media, and research. Notable participants contributing to the day-long brainstorm include: Craig Newmark, Founder of craigslist; Reid Hoffman, Chairman and co-Founder of LinkedIn; Roger McNamee, Managing Director and Co-Founder of Elevation Partners; Chris Beard, Chief Innovation Officer of Mozilla; Krishna Bharat, Principal Scientist and creator of Google News; and Sue Gardner, Executive Director of Wikimedia Foundation, among many others.

The Think In will explore five main topics that are significant to NPR's ecosystem and its future: social media and connection to the audience, the organization's national network of more than 800 stations, the potential of its open API, expansion of platforms, and its diversified revenue model. After an NPR overview and an opening session, participants will break out into small groups to develop concepts that NPR can incorporate into its organizational roadmap.

The event will be live-blogged and the Digital Think In micro-site will feature live video streams of the opening and closing sessions. In addition, attendees will be tweeting the event throughout the day using the hashtag #nprthinkin. NPR's Andy Carvin will be posting to YouTube and Flickr under "nprthink," and updating NPR's Facebook page.

Join the NPR Digital Think In (remotely)

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About Matter/Anti-Matter

Tim Leberecht and Adam Richardson both work for Frog Design, a consulting firm specialized in designing innovative products and services for Fortune 500 clients. On the Matter / Anti-Matter blog, they engage in a debate around questions they face day-to-day in their work, using convergence/divergence as a lens through which to look at the pressing issues in business, culture, and technology. What makes a successful convergent product or a successful divergent innovation? Is convergence a myth that users don't really care about, or is the current state of convergence just not satisfying enough for them to embrace? How much divergence of innovation is good, and when does it just become confusing? How do you stay on top of people's ever changing needs and wants?

They are members of the CNET Blog Network and are not employees of CNET.

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