09.07    

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09.07

25 Years of the CD

by Terrance Malkinson

On 17 August 1982, a marvel of engineering began emerging from an assembly line in a factory in Langenhagen, just outside of Hanover Germany. Jointly developed by Holland's Royal Philips Electronics NV and Sony Corp. of Japan the CD ushered in a technological revolution in the music industry. It was an easy product to market, and became an instant success. The CD industry grew rapidly in the 1990’s as music fans replaced cassettes and vinyl records. By 1988 CD’s outsold records. At the time, no one envisaged the CD as a means of data storage. Discovering unforeseen applications is a common —  and pleasant — side effect of innovation.

As the story goes, in 1979, Philips and Sony set up a joint task force of engineers to design a new digital audio disk. Many decisions had to be made including the size of the disk and CD technical standards. How do you think that the engineers decided on the disk size? Let us know by sending an e-mail to todaysengineer@ieee.org. Although the technology was new, the design was inspired from vinyl records. Similar to the grooves on a record, CDs are engraved with a spiral of tiny pits that are scanned by a laser. Because the pits are covered with plastic and non-destructible the CD never loses sound quality. This was a welcome relief to those of you from my generation who recall scratched and track repeating ever present on vinyl records, and continuing on with the annoying breakage of magnetic tapes on cassette tape recorders.

It is estimated that over the 25 years, more than 200 billion CDs have been sold (Digital Home Canada, www.digitalhome.ca/content/view/1947/206/). If all CDs ever produced were collected and stacked, they would circle the earth six times! The CD still accounts for the majority of the music industry's recording revenues, but its sales have been declining since peaking early this decade, in part due to new technologies. CDs won't disappear overnight, but its years may be numbered and like the vinyl record replaced by a new currently unthought-of innovative technology.

Other Bytes

Here are some of the things going on in and around the engineering community:

  • The Future of Work is the topic of a special issue of the 20-27 August 2007 issue of BusinessWeek (www.businessweek.com). Twenty-two articles, over 53 pages, are essential reading for everyone; students, job seekers, and those who have what they believe to be a permanent job. The nature of work has changed considerably over the past decade and change will continue. Just because you may feel that you are in a secure position today does not mean that you will be in the same secure position tomorrow. An excellent group of articles for the career savvy individual that will get you thinking about making your future successful.

  • “How to Launch a Cool, Profitable, Worth-all-the-Risk, Kick-Ass Start-Up” (Inc. Magazine, 29(7), pp. 77-86, July 2007, www.inc.com/magazine/20070801), Max Chafkin et al. provides four case studies of start-up’s that are based on an interesting idea and a passionate champion. In an interesting twist readers are invited to return feedback on their favorite among the four start-ups and your reasons for your choice.

  • When engaged in our daily activities and encounter a difficult issue we sometimes think “How might someone else handle this situation?” In “How Successful Leaders Think” (Harvard Business Review, 85(6), pp. 61-67, June 2007, www.hbr.com), Roger Martin discusses the practice of emulating what others do apply lessons learned to our own life. The author suggests that simply copying what others do is not a good approach as what works in one context may not work in another situation. A better approach is to analyze how successful leaders think and apply this to your issue. The results of his research suggest that a process of consideration of various ideas (some opposing) and then synthesizing a new superior idea is the best approach. He calls this approach “integrative thinking.”

  • Motivating employees by providing them with valued incentives has been a subject of discussion since ancient times when the first superior/subordinate relationship was established. In “Weighing Pay Incentives” (HR Magazine, 52(6), pp. 65-68, June 2007, www.shrm.org/hrmagazine), Joanne Sammer discusses some of the current thinking about incentive plans that might motivate employees to perform at high levels of performance. Online resources for additional information about designing incentive plans are provided in the article. The author particularly emphasizes the importance of determining the correct incentives for your company and employees; what business objectives an incentive plan should support; reviewing the plan to maintain relevance; and detailing the plan in writing.

  • On the lighter side in “The Pet Economy” (BusinessWeek, #4045, August 6, 2007, www.businessweek.com ) Diane Brady and Christopher Palmeri discuss how Americans spend about $41Billion a year on pets and this is expected to increase to $52B within two years. The author comments on the business and business opportunities that will arise from this where today about 63% of US households own at least one pet. An interesting inset authored by Arlene Weintraub discusses the psychology of why we desire pets.

  • The feature article in Inc. — the Handbook of the American Entrepreneur — is entitled “Fun” (Inc. Magazine, 29(8), pp. 84-94, August 2007, www.inc.com/magazine/20070801/), Leigh Buchanan characterizes fun as the new core value — it’s good for employees, good for customers and good for business. With the tight labor market existing in some regions an enjoyable “fun” workplace might be the critical factor in recruiting the best candidate. In addition research over many years has proven that a worksite where workers feel comfortable and non-restricted enhances creativity and innovation. Examples are provided of companies that embrace the concept of “fun” in their human resource practices.

  • Today, many jobs are being outsourced. In “Today’s Solution and Tomorrow’s Problem: The Business Process Outsourcing Risk Management Puzzle” (California Management Review, 49(3), pp. 27-44, Spring 2007, http://cmr.berkeley.edu), Yuwei Shi provides a comprehensive overview of the different types of risk that might result from business process outsourcing. Among the many important issues raised in this interesting article the author that the “effects of outsourcing on the firm’s immediate bottom line may not always be consistent with the effects on the long-term well-being of the firm.” He concludes with the statement “Perhaps it will be better to require senior management and even board-level scrutiny of Business Process Outsourcing (BPO) projects to recognize and deal with the more strategic risks before it is too late.”

 

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Terrance Malkinson is a communications specialist, business analyst and futurist. He is an elected Senator of the University of Calgary, a Governor of the Engineering Management Society, international correspondent for IEEE-USA Today's Engineer Online, editor-in-chief of IEEE-USA Today's Engineer Digest, editor of IEEE Engineering Management, and associate editor for IEEE Canadian Review. He the author of over 300 publications and is also an accomplished triathlete. The author is grateful to the Haskayne School of Business Library at the University of Calgary. He can be reached at todaysengineer@ieee.org.


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