Tracking Employment News

14 million people are without jobs. Imagine everyone in NYC, Chicago,
Philadelphia, and Dallas without a job. That’s almost 14 million. I
mention this because the tone of the news regarding employment has
improved since the beginning of fall 2010. It’s almost like we’ve been
on this long road trip and we can finally see the skyscrapers in the
distance. There’s miles to go, but hope is in sight.

I mentioned a few posts ago about the value of the A employee.
I said they are changing the dynamics of the job market and I praised
them. But I can’t pin them down. Sometimes they are the 35 year veteran
and other times they are the 35 year old hitting their stride. Youth
often prevails and so does being a woman. You just never know.

Anne Fisher over to Fortune.com highlighted a great resource for seeing who’s hiring called A Real-Time Look at Who’s Hiring and Where. Vault.com has a tool called Vault Employment Tracker. It’s a simple database organizing all the job announcements.

Date http://www.vault.com/images/icons/desc-arrow.png

Company 

Layoffs 

Hires 

Notes

Industry 

Info

01/18/11

AM General

300

0

AM will layoff 300 workers after the military reduced its order for Humvees.

Manufacturing

More

01/18/11

Unified Solutions Inc

228

0

Manufacturing – Other

More

01/18/11

Karachi Electric Supply Company (KESC)

4000

0

The layoffs are part of a cost-cutting drive to make the power utility financially viable, sources said on Friday.

Energy

More

01/18/11

Johnson Controls Inc.

0

250

The auto parts planct broke ground on its battery recycling plant in Florence, S.C.; it’s set to be finished next year.

Manufacturing – Other

More

01/18/11

Sam’s Club

0

170

The company is looking to hire every position from cashiers to supervisorsat its new location on  in Riverview, FL.

Department Stores

More

01/14/11

Berkeley College

150

0

Affected employees–non-faculty-members–will be let go by June.

College and University Education

More

01/14/11

Lockheed Martin Corporation

1000

0

LM, which is closing its Eagan plant in 2013 is cutting 250 jobs altogether, down from the original 350 anticipated.

Aerospace and Defense

More

01/14/11

Public Health-Seattle and King County

123

0

Nurses, social workers and other staffers were let go as a result of a 50% budget cut to an aid program for low-income pregant women and babies.

Insurance

More

01/14/11

Sterling Life Insurance

80

0

Sterling is adjusting to reduction of enrollment in one of its key products.

Health Insurance

More

01/14/11

SoloPower

0

170

SoloPower said Thursday that it is opening up a new, solar panel manufacturing facility in Oregon

Manufacturing

More

The IBM Data Governance Unified Process: Driving Business Value with IBM Software and Best Practices – A Book Review

Quick Take: The world of Data Management is becoming exposed and books like this one are a great starter guide for practitioners to understand what goes into initiating a Data Governance program. There’s no secret sauce or magic and that’s mostly the point.

Detail Review: There was once a time when people didn’t have enough information.  Now there is too much of it.  And in a few years we’ll supposedly have smart appliances and talking toasters. Well, maybe not talking, but data is becoming more ubiquitous.

Over the last decade you’ve probably been on vacation and asked “is there a good pizza place around here?” and a friend responded “according to Google, there are 8 pizza places within 5 miles of here.” You picked up the phone and called one but the number was no longer in service. Being persistent, you tried another, ordered a large pepperoni and got it 30 minutes later. Unfortunately, crackers with ketchup would have tasted better.

Companies like Google are working on this, but these were two examples of poor data quality. And data quality is a data management issue. In the case above, the phone number being out of service could be because the pizza place is closed or it could be incorrect phone digits. Not sure. The taste, or lack of, is shows a failure in relevancy – “is there a good pizza place around here?” is a two part question.

The author, Sunil Soares,
is an IBM Director in the Software Group. He has worked with over 100 clients across multiple industries and has years of consultant experience. I don’t know him, but I’ve worked with a coworker of his, Doris Saad. She did a wonderful job with extending a data governance model with an IBM flavor.

Back to the book. The aesthetics are decent. It’s a paperback consisting of 125 pages of content and another 28 of appendix material. The font is average size and the construction of the chapters is typical of a business book – bullets and concise paragraphs. The front cover is a washed out blue with the illustration of the Unified Process on it. 

The introduction is by another IBM lead, Steven Adler. He provides an example of a time he wanted to apply for a refinance. He completed the forms but there was an error with the type of loan. There was no way to deal with the mistake except to start over, which he did. This small classification issue resulted in much more rework – missing forms, open quotes, and back and forth communication. These are the type of inefficiencies a good data management programs help with. I like my pizza example better 🙂

Being a governance person, I especially like how early in the book he frames up the role of governance. Many people believe it’s about policing decisions i.e. exceptions. But it’s about getting stakeholders to make decisions. Soares states:

“Data Governance is the discipline of treating data as an enterprise asset. It involves the exercise of decision rights to optimize, secure, and leverage data as an enterprise asset. It involves the orchestration of people, process, technology, and policy within an organization, to derive the optimal value from enterprise data. Data Governance plays a pivotal role in aligning the disparate, stovepiped, and often conflicting policies that cause data anomalies in the first place.”

I also liked this line”

“Treating data as a strategic enterprise asset implies that organizations need to build inventories of their existing data, just as they would physical assets.”

The reason is because it’s hard to manage what you can’t count. If you don’t have an inventory then how will know if things have changed. It seems so obvious, but it isn’t. Making a concept like data tangible is vital to getting everyone on board.

He validates this point by offering some great questions during the Govern Analytics chapter.

  • How many users do we have for our data, by business area?
  • How many reports do we create, by business area?
  • Do the users derive value from these reports?
  • How many report executions do we have per month?
  • How long does it take to produce a new report?
  • What is the cost of producing a new report?
  • Can we train the users to produce their own reports?”
    • Would a BI Competency Center help?

Additional questions I add are:

  • Are new data generated by analysts?
  • Is the new data reincorporated back into the operational processes?
  • Are the reports sensitive? How is access to the data handled?

And page 15 offers this realistic picture of why data governance often fails:

“Most organizations with stalled Data Governance programs identify these symptoms:

  • “The business does not see any value in Data Governance.”
  • “The business thinks that IT is responsible for data.”
  • “The business is focused on near-term objectives, and Data Governance is considered a long-term program.”
  • “The CIO cut the funding for our Data Governance department.”
  • “The business reassigned the data stewards to other duties.”

Once you’ve gotten your bosses on board with doing Data Governance, it’s time to identify an approach. Soares has a IBM Maturity Model (below). It’s not a bad one. I’ve designed a few different governance related maturity models and I like this one because it eschews the levels and goes with relationships.

  1. Data Risk Management and Compliance is a methodology by which risks are identified, qualified, quantified, avoided, accepted mitigated, or transferred out.
  2. Value Creation is a process by which data assets are qualified and quantified to enable the business to maximize the value created by data assets.
  3. Organizational Structures and Awareness refers to the level of mutual responsibility between business and IT, and the recognition of fiduciary responsibility to govern data at different levels of management.
  4. Stewardship is a quality-control discipline designed to ensure the custodial care of data for asset enhancement, risk mitigation, and organizational control.
  5. Policy is the written articulation of desired organizational behavior.
  6. Data Quality Management refers to methods to measure, improve, and certify the quality and integrity of production, test, and archival data.
  7. Information Lifecycle Management is a systematic, policy-based approach to information collection, use, retention, and deletion.
  8. Information Security and Privacy refers to the policies, practices, and controls used by an organization to mitigate risk and protect data assets.
  9. Data Architecture is the architectural design of structure and unstructured data systems and applications that enables data availability and distribution to appropriate users.
  10. Classification and Metadata refers to the methods and tools used to create common semantic definitions for business and IT terms, data models, and repositories.
  11. Audit Information Logging and Reporting refers to the organizational processes for monitoring and measuring the data value, risks, and effectiveness of data governance.

From here the book dives into each one of these areas with specific actions that need to happen. I noted a few below.

Ultimately, I view this book as a good asset for getting started with Data Governance work. Howe
ver, it lacks some real best practices beyond suggesting the use of certain IBM tools. Governance is as much about getting people to compromise as it is about whether the metrics are in a red or green status. A playbook outlining the tasks won’t help in the relationships and politics  that this often boils down to. Is the pizza good? It just depends on who  you ask.

Other notes:

Page 38: This paragraph is critical. The nuance of it can go unheeded.

“It is important to recognize that a “1” rating is not inherently bad, and a “5” rating is not necessarily good. The Data Governance organization had to work with IT and business stakeholders and (preferably) develop a business case to determine whether it is feasible to increase the rating for a given category in the desired future state.

Page 42: I consider a charter to be pretty self explanatory, but the reality is it isn’t. This is a good recap.

“The Data Governance charter is similar to the Articles of Incorporation of a corporation. The charter spells out the primary objectives of the program and its key stakeholders, as well as roles and responsibilities, decision rights, and measures of success.”

Page 42: The break down of the Data Governance structure is pretty good too.

“The optimal organization for Data Governance is a three tier structure. The Data Governance council, at the pinnacle of the organization, includes senior stakeholders. At the next level down, the Data Governance working group consists of members who are responsible for governing data on a fairly regular basis. Finally, the data stewardship community had day-to-day, hands-on responsibility for data.

Page 79:

“Here are some of the responsibilities of an executive sponsor:

  • Have ultimate responsibility for the quality of data within the domain
  • Ensure the security and privacy of all sensitive data, such as PII and PHI, within the domain
  • Appoint data stewards with day-to-day responsibility for dealing with the data quality, security, and privacy issues within the domain
  • Establish and monitor metrics regarding the progress of Data Governance within the domain
  • Collaborate with other executive sponsors in situations where business rules collide, to ensure that the enterprise continues to derive maximum value from its data

Page 79-80:

“When a data stewardship program reaches maturity, the data steward should report into the business. At this point, it is important to ensure that there is a some level of oversight across all the data stewards, to ensure a consistency in roles and responsibilities and to develop a sense of community.”

Some commentary, the notion of a community is important. This data culture change is not just a top down manifest. You need to get everyone, especially projects, viewing data differently than they have been.

Page 95: There is a good example of a business rule which establishes which record is authoritative.

“Fortunately, that is where the rules of data survivorship come into play. The Data Governance rules of survivorship state that life insurance is the best source for birth date because that information determines premiums. Similarly, homeowner’s insurance is the best source for address information because that data is directly tied to the entity being insured.”


Picking the Best Team

“You wouldn’t believe it.” he says, although I’m sure I not only would believe it, but I can top it. “I was in first place in my league until Aaron Rodgers has a concussion and has to sit out. My back up was whoever the guy is from the Lions.” I pretended to listen, but I’m really thinking about my own team. These fantasy football stories aren’t for the person hearing the story, they’re for the person telling it. Occasionally it’s about how they won the league, but much more often, the tale is about a loss. “If Rodgers didn’t get hurt…” There’s always an “if.” He’ll be back next year.

The beauty of fantasy football is every year you get to pick your team. Most of the elite players – the A players – are taken in a draft or auction. The handful you select become your guys, your team. You then get a chance to pick up free agents during the season to supplement the team. It’s fun to look over the team and watch on Sundays.

Robots

Something similar is happening in the business world. We’ve hit a sweet spot with demand and productivity and it’s creating a Fantasy Football type of workforce.

Suppose for simplicity sake there are five types of employees – A, B, C, D, and F.

F
- Isn't skilled for the job
- Doesn't show up on time
- Doesn't care
D
- Isn't skilled for the job
- Shows up on time
- Training doesn't work
- Tries hard
C
- Skilled for the job
- Doesn't do anything beyond what is asked
- Performance is adequate
- Must be trained for every part of the job
B
- Skilled for the job
- Performance is good
- Quickly learns new aspects of the job
A
- Skilled for the job
- Performance is excellent
- Quickly learns new aspects of the job
- Can proactively expand the scope of the role
- Able to streamline or automate aspects of the job

 

Normally a big company, and for shorter durations, a smaller one too, will tolerate D employees in the hopes that they can become at least a C employee. But when the economy is tough F, D, and many C employees are let go. The business just can’t support them. This is your basic business cycle economy or put another way, aggregate demand for goods and services is down. When people stop buying, revenue suffers and revenue pays the bills like payroll and health care.

But what’s weird is corporate profits hit an all time high in the third quarter of 2010. A staggering $1.66 trillion. Up from $1.61 trillion in the second quarter and $1.30 trillion in the third quarter of 2009. A tremendous growth rate. Well, when you look closer at it, much of the third quarter growth was from the financial industry and the value of those gains tend to be theoretical or only materialize over long horizons.  But either way, profits are out there and cash is sitting on the books of many large companies. So why aren’t they hiring?

The reason is because of demand and the A employees. Demand is just enough to keep the machines running and creating economies of scale opportunities. But demand isn’t too high to hire extra workers (temporary hires are filling the gaps when needed) to pick up the slack. Meanwhile A employees are reviewing how the processes work and identifying inefficiencies. They are re-engineering their companies without causing disruption. Productivity goes up and meets a slowly improving demand level. The cycle continues.

A employees are talented and are getting raises. And just like in Fantasy Football, they are carrying their teams. If the raise isn’t there, they are being cherry picked by other companies.

This somewhat sounds like a structural economy issue as well. The demand is there, but the skills for the D, C, and B employees aren’t. This is an effect of globalization. The demand is there, but it’s being met not in the US, but in countries like India and China – manufacturing jobs particularly.  This doesn’t spell doom for D, C, and B employees because the scales tend to even out. The rising tide (cheap labor isn’t so cheap) in countries like China will make companies look again at the US, but while that is happening, education – learning how to problem solve – needs to take priority. Otherwise, their skills won’t be differentiated from other workers and other countries. We need more A employees.

This isn’t about labor anymore. It’s about talent. Elite performers get picked and others just fill out the roster or so the story goes.

Working Thoughts 1/11/2008
Examine Each Job as One of Many Crime Scenes

Working Thoughts 1/11/2009
Different Paths to Owning a Professional Sports Team

Working Thoughts 1/11/2010
Job Creation in the 2000s?

Scared of Ideas or Open to Change?

He hears the alarm clock, hits snooze, and lays there for ten minutes somewhere between sleep and awake. “In the Hall of the Mountain King” by Edvard Grieg plays:

He does what I think is one of the hardest things in the world to do, he puts the first foot on the floor in the morning. He goes to the bathroom, runs the shower, and peers into the mirror. Everyday its the same. Same time, same song, same struggle. Everyday.

Routines are good for many aspects of our lives. We need to focus on what is different in our environment and routines keep us safe to do so. But the comfort of a routine can be disabling as well. For instance, there’s a field of study called Terror Management Theory and it describes what people do to repress an awareness of mortality. Here’s an excerpt from HarvardBusinessReview.com called Employees See Death When You Change Their Routines which enumerates three means for warding off these thoughts:

Studies show that we create three existential buffers to protect us from this knowledge: Consistency allows us to see the world as orderly, predictable, familiar, and safe. Standards of justice allow us to establish and enforce a code of what’s good and fair. Culture imbues us with the sense that we have contributed to, and are participating in, a larger and enduring system of beliefs.

As a manager it’s important to know which of your employees are lulled into this perceived safe zone and will need some coaxing when change is on the horizon. They’ll want to hold onto the way things are – they’re good at them, they understand what’s expected, and they are familiar – but it’s counterproductive. You’ll need to invest in re-establishing these buffers for them…

Unless they are risk takers. Many entrepreneurs don’t like routines. They want constant change with a little bit of chaos mixed in. Companies like Google seek them out because they tend to be disruptors and a disruption can be a money maker. Just last week the NY Times ran an article about how Google gave 10% raises across the board. Google’s growth has brought with it the bureaucracy of a big company. Some entrepreneurs are fleeing the company. The reason is because they can’t affect change quick enough. Their supply of patience is sapped.

Both types of worker, the comfort in routine and the risk taker, must answer this question posed by Bob Brennan of Iron Mountain to this employees:

What do you recommend we do?

You can get a real sense for who’s invested in moving the company forward, and who’s watching the company go by, with that very simple question.

Q. Why?

A. People lay out problems all the time. If they’ve thought through what should be done from here, then you’ve got somebody who’s in the game, who wants to move, and you can unlock that potential. Bystander apathy or the power of observation, in and of itself, is not very valuable. There are amazingly eloquent diagnosticians throughout the business world. They can break down a problem and say, “Here’s your problem.” But it’s prescriptions that matter. So how do we move from here, and what specifically do you recommend?

Working Thoughts 11/29/07
It’s Not a Recession but it Sure Feels like It

Working Thoughts 11/29/08
There Are Jobs for Low Level Employees?

Inspiration and Institutions

Malcolm Gladwell, the author of several best sellers including a favorite of mine The Tipping Point, wrote a New Yorker article last week about the bonds of Social Networking tools like Twitter and Facebook. To explain his point he describes the fears and risks of the “sit in” generation of the 1960s. Social change at that time required a particular type of nerve: courage and restraint. It was needed because the threats, occasionally deadly, were often carried out. They knew they had to endure because their weakness would lead to weakness in others. Gladwell calls these strong bonds.

6.2 million people have been unemployed for more than six months. Being without work for that long is troubling to the mind. Being available in case something comes up and the instability of simply not knowing is tough. Plus it’s lonely. But 6.2 million is a big number and it means there’s probably someone within your community who is in the same predicament. That is where a site called Unemployed-Friends.com comes in. It’s a means for those without work to exchange messages, thoughts, and prospects. But besides the fringe benefits of venting, it’s a market for helping each other. That’s the genius of it, these people have time and unused skills available. And this is just the short term benefit. Strong bonds might be the long term benefit.

When I was about eight years old, I remember the pull the professional wrestling. “Who won Wrestlemania?” I’d ask my dad because it was too late for me to stay up. This was the ’80s and wrestling wasn’t obvious about the scripted action yet. People like Hulk Hogan would get the crowd going with their back stage interviews. In the late ’90s a resurgence followed and people could smell what The Rock was cooking. The camera would pan the stands and see signs with clever sayings like “Hogan was a Flintstone” and “This Space for Rent.” Everyone would chant the catch phrases and nothing would be better than Jerry Lawyler’s high pitch announcement of a surprise wrestler “WHAT?! That’s Stone Cold Steve Austin’s music!” Simply exciting.

But this type of connection is weak. It’d only last while the entertainment was going and then it was time to move on to something else. I think this is what Gladwell was trying to get across with his New Yorker piece. That Twitter and other Social Networks are forms of entertainment and have no lasting kinship. But we are also in a society where the threat of an act is all that is needed. It’s pretty powerful. So getting a few thousand signatures via facebook isn’t the same as a “sit-in” but it sends the message to the offending party that they could be in a costly confrontation. And then they have to decide if it’s worth it.

I mention all this because I think a real test of these tools is underway. The US election cycle for 2012 will begin in about six weeks. About a year later we’ll begin to see a lot of movement around a third party candidate. Thomas Friedman in the NY Times writes about the idea in a Op-Ed piece called Third Party Rising . He should have used a former wrestler as an example – Jesse Ventura ran a grass roots campaign in the mid ’90s, about the time the Rock was cooking, and became governor of Minnesota. Michael Bloomberg might give it a shot, we’ll see, but I don’t think a third party can win, but he can get close, and the mere threat should send shock waves to the Democrat and Republican Parties. From a business perspective, the time is right to capitalize on the on coming need and use of the strong and weak bonds.

Working Thoughts 10/4/08
September 2008 Jobs Report and Wages

He Quit His Job and the World Got Richer – The Khan Academy

There are 1440 minutes in a day. That’s 120 opportunities, in one day, to consume a video from Salman Khan. He’s a game changer for education. He started The Khan Academy , a video tutorial service using only Youtube and his knowledge base. There are 1600+ videos and each one usually runs a little more than 11 minutes.

I often rebuke the notion we are failing at math and science. We can improve, that is for sure, but testing memorization isn’t really learning. Videos like Khan’s help students get their feet on the ground. They can rewatch it, ask questions of their teachers, and cross reference it with Google, Wikipedia, and other traditional resources.

Bill Gates has taken notice as well. The reason is because the teaching methods are simplistic. And because of that, the distribution can go wide. The relative cost and investment is so low that it creates a novel not-for-profit business.

I’m curious about the net positive effect of this type of education. The aggregate benefit of short videos for tutorials, video games for problem solving, music for creativity, and blogs and twitter for cleverness is immense. The structure of learning is not only a class room.

Billions of Dollars: Giving, Spending, Fighting, Accumulating, Owing, Losing, and Earning

The smart people over to Informationisbeautiful.net created something called a The Billion Dollar-o-Gram . Its a Treemap. I don’t visually get why its called that, but it’s the method for displaying heirarchical data by using nested rectangles.

What I like about it is the relationships. Understanding proportions when talking about big numbers is difficult, so an illustration like the one below helps immensely, especially when people mention a few billion spent on this or a few billion going on that.

I suggest checking out a book by them as well. It’s called The Visual Miscellaneum and it’s $17.81 over at Amazon.com .

One more item about their work, they provide a link to all their supporting data .

July 2010 Jobs Report and Wages

Here are the job market and compensation numbers for July 2010 (based on the job report):


Net loss
of 131,000 jobs in the month
(revised to a loss of 66,000 jobs)

  • Census workers accounted for a loss of 143,000 jobs as they rolled off the federal payrolls
  • Private sector payrolls increased by 71,000
  • Analysts expected an overall loss of 65,000
  • One year ago the US lost 346,000 jobs
  • June was revised to a loss of 221,000 jobs from an original reading of a loss of 125,000
  • May was revised to gain of 432,000
  • 6.8 million people have been jobless for more than 6 months (long term unemployed) – unchanged from June

    • 44.9% of the unemployed are long term unemployed, a drop from 44.5%
  • Businesses (private sector) have now added 630,000 jobs since the start of 2010, after cutting 8.5 million in 2008 and 2009 combined (90,000 a month)

Unemployment rate held at 9.5%

  • Analysts predicted it would be 9.6%
  • The unemployment population is 58.4% – virtually unchanged
  • The U-6 report, which is a broader group to count, stayed at 16.5%
  • PMI, a measure of manufacturing pace, is 55.5 from 56.2% last month and 59.7% the month before. Anything above 50% means the machines are running
  • Economic growth will be by sector. The strongest component of economic growth is business investment in office buildings, equipment and software, growing at 17% during the second quarter
    • Job postings on Dice.com, a technology and engineering job Web site, are up 36 percent in the year through Aug. 1
    • Postings on efinancialcareers.com, which serves as an online clearinghouse for finance positions, are up 31 percent

Specific Segment Job numbers:

  • Manufacturing added 36,000 jobs
  • Construction loss 11,000 jobs
  • Retailers gained 6,700 jobs
  • Leisure and Hospitality Services grew by 6,000 jobs
  • Government sector lost 202,000, Federal losses were 154,000
  • Education and Health Services grew by 30,000 jobs
    • Health Care and Social Assistance grew by 27,800

  • Professional and Business Services lost 13,000

Wage (can be revised):

  • The average weekly paycheck (seasonally adjusted) is $637.84 – an increase
  • The average hourly earning (seasonally adjusted) is $19.04 – two penny increase
  • The average hourly work week is 33.5 hours – a increase of 0.1 hours

Bureau of Labor Statistics

Job Report Stats Summary

“The Gap is Between Doing Nothing and Doing Something”

Clay Shirky in the video below hits on themes that run throughout this blog. His 13:08 of audio/video is time well spent. He mentions:

  • Free Time
    • Couch Potatoes
    • Good at Consuming
  • Creativity – People like to create
    • Cats
  • Intrinsic Motivations
    • Kenya
    • Design for Generosity
  • Tacit Information
    • Crisis Map
  • Communal Value
  • Civic Value
  • Humor

http://video.ted.com/assets/player/swf/EmbedPlayer.swf

The blog Information Is Beautiful did a fun illustration using a stat from the speech – 200 billion hours of Watching TV a year and the time spent working on Wikipedia. Quite the comparison.

We Respond to Small Cues Very Effectively

I’m really into the potential of ubiquitous measurements. My last entry was about HP building sensors for everywhere and everything. It’s also know as the “internet of things.” The reason I think it’s coming and very powerful is because it let’s people know the impact of their actions in real time. Behaviorists have for years said that people are not rational in their decision making and I agree, but making data available is one way to change behaviors. We respond to small cues very effectively – just asking someone in marketing and advertising.

http://video.ted.com/assets/player/swf/EmbedPlayer.swf