| Roberto Saracco | TILAB- Telecom Italia Continuous Education: what opportunities for a Telco? A contribution to the discussion Boston, Oct. 2006 0 | Roberto Saracco | TILAB- Telecom Italia - The global picture - The Value Chain - Is there a biz for Telcos? - Examples Boston, Oct. 2006 1 The context | Roberto Saracco | TILAB- Telecom Italia Half life of technology know how: 3-5 years 2012 Value of today’s technical skill: 10% of current value Profession tends to focus competence, expertise on a single tree losing track of the forest; compartimentalization of knowledge within value chain and within enterprises’ department A lot of wasted time, effort and opportunities in rediscovering the wheel; know-how bounded to persons, looseley coupled with the enterprise Limited results, so far, by Knowledge Management Boston, Oct. 2006 2 | Roberto Saracco | TILAB- Telecom Italia The global picture: Information Mgt Basically free storage of information: accumulation is possible Localised information, synch “in burst”at no cost: distributed but continuously related information Localised transfer of information, viral communications: context changes continuously Information is moving around ready to serendipiously: sorting information from data be captured Social networks based and managed information anything can be a “Social Network” thus creating a context Boston, Oct. 2006 3 | Roberto Saracco | TILAB- Telecom Italia The global picture: context awareness Sensors Automated processes and monitoring Automated capture of feelings Information tagging and relation tagging Context awareness is not limited by a geographical location nor by time slice (“here and now” morph into “experience and expectation”) Boston, Oct. 2006 4 The global picture: terminals’ evolution | Roberto Saracco | TILAB- Telecom Italia Personal terminals monitoring, capturing, storing Augmented reality Local area communications Boston, Oct. 2006 5 The global picture: mash ups | Roberto Saracco | TILAB- Telecom Italia Information Background Dynamic Information Localised Information Personalised Information Artifacts Boston, Oct. 2006 6 The shift in education value chain | Roberto Saracco | TILAB- Telecom Italia a Boston, Oct. 2006 7 Is there a biz…? | Roberto Saracco | TILAB- Telecom Italia The education market in Italy (2004): 65 Bl € PA expenditure for education 4.2 Bl € professional training expenditure private secondary schools: 1.7 Bl (pubblic+private 7 Bl) Tutoring education supports E-learning market (2004) : 365 € mln - enterprises € 316 mln (86%) - PA 8,3 € mln (2,5%) Boston, Oct. 2006 8 Is there a biz…? | Roberto Saracco | TILAB- Telecom Italia Training (on and off the job) only 20% of Italian workers attend training courses (EU average 40%) enterprises that organize training courses: 25% (EU average 60%) Boston, Oct. 2006 9 | Roberto Saracco | TILAB- Telecom Italia Is there a biz…? Savings due to the use of distance learning On line course cost may be less than 45% of a traditional course. The English Open University has an average cost around 50% of a traditional one Brandon Hall realized a study on 12 USA companies to evaluate savings due to the use of on line learning for training of employees: the result was that these companies could make a training volume five times higher at 1/3 of the budget The first reason of savings is a reduction in traveling cost that generally account for 67% of total cost Cost of “not training” Decrease of enterprises productivity and competitiveness Decrease of knowkedge value for the country Decrease of turn over -> older blood, less innovation Boston, Oct. 2006 10 | Roberto Saracco | TILAB- Telecom Italia Is there a biz…for Telecommunications? Seamless link of information to people RIGHT ON TIME, WHEN IT IS NEEDED Intermediation role Profiling, adaptation, monitoring Meta-Information Support to trainers and trainees Boston, Oct. 2006 11 Value proposition | Roberto Saracco | TILAB- Telecom Italia Connectivity Information mgt (accrual, delivery, relationships, ownership, revenue sharing,…) tagging, Application platforms Add-on layer on existing processes (e.g. CRM, Call Centers, production processes) Intermediation in value chain across several actors Boston, Oct. 2006 12 Examples | Roberto Saracco | TILAB- Telecom Italia Changing the education model in high school Continuous education in the retail segment Continuous education merged into production Boston, Oct. 2006 13 | Roberto Saracco | TILAB- Telecom Italia Examples: Internet as the education fabric Internet and computers in every school – seldom used Most teachers suspicious of Internet Students familiar to “play” on Internet Boston, Oct. 2006 14 Examples: Samsung Italy | Roberto Saracco | TILAB- Telecom Italia 2400 retail points Product life cycle < 4 months (cell phones, televisions, PC) No control on clerks HQ Italy Boston, Oct. 2006 15 Examples: Telecom Italia CRM-Noi TV | Roberto Saracco | TILAB- Telecom Italia 30,000 people in the “field” Marketing at the edge Outsourcing vs Insourcing Boston, Oct. 2006 16 Telecom Italia NGN2 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 17 | Roberto Saracco | TILAB- Telecom Italia Open questions How close are the education/training environment? Can an independent party provide services to a basically non existing community supporting continuous education? What should be the entry point in the education value chain (targeting trainers, content providers, end users, process managers) What are the shareholders and who is threatened? Boston, Oct. 2006 18 | Roberto Saracco | TILAB- Telecom Italia In a nutshell How can Telcos enter and help in reshaping The continuous education value chain? How can they play a role in the continuous education biz beyond the one of carrier? Boston, Oct. 2006 19