Wednesday, July 15, 2009

The Green Revolution(s) - Gre(at)en Article by Thomas L Friedman

I particularly enjoyed Thomas Friedman’s editorial in the New York Times (or International Herald Tribune) of June 25, 2009, entitled “The Green Revolution(s)”. For those of you are still not inclined to believe in the need to reduce man-made pollution and join the ecological bandwagon, here is a well written exposé on why we should at least reduce our consumption of petrol in the Western World: reduce the demand of (and the dependence on) oil and prices will tumble. Friedman cites The First Law of Petro-Politics “…which stipulates that the price of oil and the pace of freedom in petrolist states – states totally dependent on oil exports to run their economies – operate in an inverse correlation.” So, regardless of any potential benefit for General Motors and Chrysler and their “Greener” cars, the geopolitics of the world would be a much better place if the “easy money” derived from oil exports was exposed for “bad money” and the auto-aggrandisement and self confidence == that comes from being financially secure -- were deflated as speedily as oil prices decreased. Friedman cites Yegor Gaidar, a deputy prime minister in Russia in the early 1990s, as saying that "the collapse of the Soviet Union could be traced to Sept 13, 1985…” date on which Saudi Arabia officially changed its oil policy, unleashed its production and brought oil prices tumbling down and, consequently, the Soviet Union to its knees.

Friedman believes that by reducing the Western World’s dependence on oil, the Green Revolution (the reformers) in Iran will be able to take hold, allow greater freedom for its population and bring down the Islamic dictatorship. Along the way, perhaps the collateral benefits might also be applied to other oil-rich despotic regimes, such as in Nigeria, Venezuela and even the rigid Russia. As Friedman exhorts: “An American Green Revolution to end our oil addiction – to parallel Iran’s Green Revolution to end its theocracy – helps us, help them…”

So, this is just one more reason to take the greener roads, for surely the grass is greener on the other side of this hill.

Saturday, July 11, 2009

Mixing it up in the French Government – Model of diversity?

In a democratic sense, the Government is the representation of the people.  As such, you might expect the notion of “fair” representation to be more heralded by the latest Sarkozy government, ushered in the last week of June 2009.  The new cabinet, under the loyal PM François Fillon, announced on June 25, covering the 38 ministries, contains 8 new people and the mélange is rather interesting.  If it is still not fully representative from a socio-demographic standpoint, the latest Sarkozy cabinet covers a wide spectrum of races, age, sex and ideology.

Sarkozy's Shuffle:  Fillon IV - The new government

25 men and 13 women (of which just 4 are full portfolio ministers, down from 7 full ministers in the prior cabinet, while 9 are junior ministers).  13/38 = 32%

In terms of age distribution, 5 ministers are under 40 years old, 12 are over 60.

There are a handful of “French liberals” aka capitalists or just "conservatives" (P Lellouche, H de Raincourt, H Novelli, D Bussereau, H Falco), another handful of centrists (H Morin, M Mercier, V Létard, C Blanc & AM Idrac) and yet another handful that could be said to sway more toward the “left” (Hirsch, Kouchner, Eric Besson, Frédéric Mitterrand et JM Bockel).

There are 4 ministers that represent “diversity” and all four are women.  Insofar as France, following in Norway’s footsteps, has imposed a quota of 40% of women on executive and advisory boards (of state and publicly traded companies) by 2015 (20% by 2011), this Sarkozy government is well on track, if perhaps a little light among the full portfolio ministers.

I was particularly interested by the preliminary words used by President Sarkozy to his assembled team (I transliterate): “ Don’t speak too quickly to the journalists, until you have a good grasp of your subject.  Show solidarity with your fellow cabinet ministers, don’t transgress on each other’s territory (aka don’t step on each other’s toes), and don’t forget that you are NOT in your position just to recycle dossiers that have been prepared for you by your administration.”  (note the double negative).

In these lines, one can read many things.  Communication is absolutely key to success.   Be master of your destiny by gaining knowledge (and I might have added more field work).  And, providing Sarkozy defines carefully enough the said territories, then it will be possible not to interfere with one another’s work.  That said, with such a diverse population in his cabinet, one could also expect to have diverse interpretations.  And that is the benefit and the difficulty of diversity.  Let us see how Sarkozy and PM François Fillon manage. 

Friday, July 10, 2009

Starbucks opens eco-store, 50th in France

Starbucks France celebrated last week (July 1st) the opening of its 50th store in the country, with all the Starbucks high brass in attendance.  Located in the Disney Village at Disneyland outside of Paris, this store is the first “eco-responsible” Starbucks outside of Seattle, where they have already opened two such eco-concept stores. 

The concept and design of this Eco-Responsible Starbucks is “an evolution of the Third Place concept,” whereby, according to the company, Starbucks would be the third “go to” place behind the home and the workplace.

 Light within a light decorations

In keeping with a Sustainable Development approach, the design of the store was conceived by using as many local partners as possible (furnishings were all provided by businesses within a radius of 30 km of the store) and to be strongly ingrained with the local [“Disney”] community.

One of the highlight points was that this Starbucks store is LEED certified.  Now recognized in some 90 countries, LEED has become an international standard for benchmarking energy consumption and CO2 emissions.  Three pillars to the eco-conception: natural ventilation for the air conditioning system (-30% reduction in energy), LED and fluo-compact lighting (-90% in electricity consumption in the public zones of the store), and various water reducing mechanisms (mousser, sensor systems…) which are expected to reduce water consumption by 49%. 

 
Wine rack used for ceiling decoration

This Disney Village Starbucks features a number of recycled materials and objects, including using wine racks for lighting (pictured) and ceiling decorations, wood from wine barrels, airplane carpeting and used leather from jettisoned cars. 

I spoke with CEO and founder, Howard Schultz who was on hand to cut the ceremonial ribbon, and asked about when Starbucks would make it to coffee-paradise Italy?  He said that there were no definitive plans, but that Italy’s day would come some day.  Meanwhile, in another coffee-loving country, Turkey, Schultz was quick to say how well Starbucks has done there. 


Around the store were plaques that made for casual reading and reaffirm Starbucks' official policy regarding its community involvement (pictured left) and environmental stewardship.  In all, the Starbucks store continues to provide a different way to enjoy coffee and clearly the Starbucks employees ("partners") were enjoying the new concept.  Starbucks plan to generalize this concept throughout its network for all new stores and any renovations.  Read here for more on their own news wire.

Irony of the opening ceremony was how hard it was to get served a coffee.  A little "pull" and I was served.  After the store opening ceremony, Starbucks “partners” in France were invited to a 5-year anniversary party in a big tent behind the 50th store.  I took a sneak preview and enjoyed a few words with a woman there to teach about Starbucks’ philosophy regarding bean selection and coffee-making.  Kudos to Starbucks France Managing Director and fellow INSEAD grad Philippe Sanchez.

Wimbledon Tennis 2009 Winners - A fine vintage

After Roland Garros, the tennis world turned its attention to Wimbledon 2009. Perhaps to help us forget about the economic woes and, certainly, to usher in the summer, we were treated to another glorious green grass tournament. If the French had a bad tournament, the US contingent of tennis players did themselves proud on the grass courts and, on the men’s side, like the U.S. men’s football (soccer) team at the 2009 Confederation Cup, were proud losers in both of the hotly contended finals. On the women’s side, the Williams willed it all.

Wimbledon 2009 Men’s Singles Winner: Roger Federer (world #2 but top seed at this year's Wimbledon) outlasted a highly determined Andy Roddick (seeded #6) on a score of 5-7, 7-6 (6), 7-6 (5), 3-6, 16-14 in a 4H16 match that, with hindsight, turned in the second set tiebreak in which Roddick squandered four points to go up 2-0 sets. The historic men’s final, featuring the longest ever 5th set (1H35) in a final and the highest number of games (77), brought Federer to the summit of 15 Grand Slam titles, eclipsing in six years what the on-hand Pete Sampras (14 titles) achieved in 12 years. Little known fact: the man who has 12 titles whom Pete beat and who is now 3rd on the all-time list? Roy Emerson. In winning Wimbledon again, Federer reclaimed in the process the #1 world ranking. Roddick’s game, to his credit, was at its best and it was only in the 30th game of the 5th set that he was broken for the first time in the match, after having held 37 times consecutively. Surprisingly, in this match, Federer (27 years old) out-aced Roddick (26 years old) by a wide margin, as he hit a career high 50 aces to Roddick's 27 -- even if Roddick had a tournament high 187. Roddick has now lost three Wimbledon finals, all to Federer, his seeming nemesis. Final stat that I liked: since his first title in 2003, Federer has won 30 of 34 tie break sets at Wimbledon. Now that’s called clutch play.

Of note, in the men’s draw, one must also tip one’s hat to the great tournament by homegrown Andy Murray (#3), if only that he was stubbed out by Roddick in a quality semi-final Battle of the Andy's match. I also would call attention to a stirring tournament by the unseeded Aussie, Lleyton Hewitt, who walloped Juan Martin Del Potro (5) in straight sets (6-3, 7-5, 7-5) and then came back from 0-2 down (for the sixth time in his career) to beat Radek Stepanek 4-6, 2-6, 6-1, 6-2, 6-2. The Hewitt-Roddick match was also another great match, where Roddick evened the career matchup 6-6 in a veritable 3H51 5-set slugfest 6-3, 6-7 (10), 7-6 (1), 4-6, 6-4. The final good word goes to Tommy Haas (#24), the 31-year old ‘veteran’ whose form surged at Roland Garros and clearly extended into Wimbledon. His 3rd round 5-set triumph over Marin Cilic was only trumped by his 4-set dumping of the 22-year-old number 2 seed Novak Djokovic 7-5, 7-6 (6), 4-6, 6-3 in the quarter-finals.

Wimbledon 2009 Men’s Doubles Winners: The returning champions, Canadian Daniel Nestor and Serbian Nenad Zimonijic (#2) saw off the top seeded Bryan twin brothers (USA) in an exhilarating match which featured many “huge” points where literally all four men were exchanging multiple blows and volleys at the net. The four set thriller was settled with just one break in the second game of the fourth set. The final score: 7-6 (7), 6-7 (3), 7-6 (3), 6-3.

Wimbledon 2009 Women’s Singles Winner: After having battled through a 3-hour grind in the semi-final against Elena Dementieva (#4) and staved off a match point, Serena Williams (#2) took it to her sister Venus (#3) in straight sets, 7-6 (3), 6-2 to win her 3rd Wimbledon singles title and 11th Grand Slam, one less than Billy Jean King on the all-time leader board (still way back from the record 18 singles titles by Navratilova and Evert). Serena avenged her loss to Venus in 2008; moreover, each of Serena’s 3 Wimbledon titles has come at Venus’ expense. Serena now holds a 6-2 edge in Grand Slam finals against her sister. Great stat: This was the third time that Serena has won a Grand Slam having fought off match points in prior rounds.

Wimbledon 2009 Women’s Doubles Winners: Whereas the American Bryan brothers were not able to pull off the Men’s Title, the American Williams sisters stormed to victory 7-6 (4), 6-4 over the Australian duo, Samantha Stosur and Renée Stabbs. In so doing, the Williams siblings won their 4th Wimbledon doubles title and 9th Grand Slam doubles victory overall. For Serena, that meant that her Wimbledon winnings eclipsed GBP 1 million ($1.4 million) at GBP1.08 million. (I didn't check to see if by any chance Serena also played in the mixed, but I doubt it).

Wimbledon 2009 Mixed Doubles Winners: Mark Knowles (Bahamas) and Anna-Lena Groenefeld (Germany) seeded 9th beat top-seeded Leander Paes (India) and Cara Black (Zim) 7-5, 6-3.

Tuesday, July 7, 2009

A beautiful day for numerologists

Tomorrow will be a beautiful day...especially if you live in the United States (i.e. you write the date MM/DD/YY).  At five minutes and six seconds after 4 AM in the morning (of 8th of July), the time and date will read:

04:05:06 07/08/09

It's a beautiful thing.  This exact reading will not happen again for another 1,000 years (although, don't worry, we will have plenty of other "magic" all along the way).

Of course, if you are living in Europe or the rest of the world, you should focus on five minutes and six seconds after 4 AM on the 7th of August, 2009...

Friday, July 3, 2009

Facts About Lightning - Be Wary on 4th July

I think it is safe to say that virtually all of us have at one time or another marvelled at the awesome vision of a lightning storm. Our psyche is wooed by a combination of a giant magician's show and the force of nature. It is estimated that, every second around the world, there are between 50 and 100 lightning strikes.


From a few more or less credible sources, I thought I would provide some interesting facts on lightning.

According to a National Geographic article in 2004, "[t]he odds of becoming a lightning victim in the U.S. in any one year is 1 in 700,000. The odds of being struck in your lifetime is 1 in 3,000." And, for 10% of those struck by lightning, the impact is fatal. For 70%, the impact causes serious long term damage. So, the question is how to avoid it, especially in the summer months when the number of lightning deaths peaks (because people are outdoors)? In fact, the 4th July holiday in the US is a particularly vulnerable date as far as lightning accidents is concerned.

Wearing rubber soled shoes won't help protect you. Standing under a tree is the worst idea you can have. Followed closely after by swimming in a pool: water is a great conductor of electricity and your head becomes the lightning rod. And, once you are inside, get off the phone at home during lightning storms. As the Nat Geo articles writes, "[p]hone use is the leading cause of indoor lightning injuries in the United States." Unfortunately, typing on the computer is not advised either as, regardless of any surge protector, you are better off unplugging and turning off electronic equipment.

From Stormwise, I pulled this statement: "
Most lightning strikes average 2 to 3 miles long and carry a current of 10,000 Amps at 100 million Volts."

If you like the photo above, you might enjoy taking a spin on this site: Stunning photos and facts about lightning. I have extracted another couple of "facts" that I found of note from the post carrying this photo:

"...lightning is capable of generating a temperature of twenty seven thousand degrees Fahrenheit and travel twenty thousand miles per second"

"The most powerful lightning strike ever recorded in the United States struck the Cathedral of Learning of the University of Pittsburgh on July 31, 1947. The bolt discharged approximately three hundred forty five thousand (345,000) amps. This was enough current to light six hundred thousand (600,000) 60W light bulbs for the duration of the flash which is only thirty five millionths of a second." Of course, that is not a very long time.

And, to finish, the most spectacular lightning storm I ever saw was during a rainless thunder storm in barren and arid land on the road going from Antalya to Isparta (Turkey). The lightning was an extremely vivid red. There is apparently a form of "red" lightning called "Red Sprite lightning" which, according to stormwise, "is a newly-discovered type of lightning that zaps between the 40 mile span between the tops of severe storm clouds to the lower ionosphere "D" layer. Red Sprite Lightning looks like a giant "blood-red"colored jellyfish having light-blue tentacles. Red Sprite Lightning creates extremely powerful radio emissions from 1000 Hz through VHF." If that is what we saw in Turkey, then it was awfully impressive. P.S. The lightning was fully red (the photo here is not mine, nor is it truly red lightning).

Monday, June 29, 2009

Permanent Changes arising from the Economic Crisis

Changes? What Changes?


The ongoing worldwide economic crisis has created many obvious changes in behaviour, mostly focused on the effects of reduced funds. Whether it is the fear that makes a salaried person "tighten" his or her budget or someone who actually has less money coming in (for example, an entrepreneur struggling to make ends meet or, worse yet, someone who has been fired), there is less money floating around. However, given human nature, once the world's economies recover and businesses reignite, with fuller employment, most of these shifts in behaviour will inevitably revert back in pavlovian style to the habits of the past.

The question that interests me most, however, for this post is which of the changes will be permanent. The profound changes in culture and the creation of related new processes are what will cause the change to stick. Many of the changes pre-date the recession, at least in their origin. The recession has also provoked new business models and practices. Among the lingering changes in behaviour, clearly, from a corporate standpoint, managers who have never had to face such difficult times will have plentiful learnings which should augur well for being better prepared in future downturns. A perfect example is how management at internet companies have managed this crisis much better since getting their proverbial fingers burned in bursting of the internet bubble in 2000-2001.

I will present below which four major changes I believe will have staying power, at least in the much of the developed world.

Durable Sustainable Development Effects
As the need to green has invaded mass media, I have three thoughts here about the more lasting cultural shifts: (1) There is clearly a move away from heavy consumption of fossil fuels (SUVs and cars in general), creating new habits such as walking to work or taking public transport which may, in turn, help justify and finance more public transport development. (2) Purchasing "green" for the long term should have, by definition, a long tail. An example is the purchase of long lasting LED lights whose benefits of durability and low energy consumption are slowly gaining traction, even if they present a higher upfront cost. (3) Attention to reducing water consumption has meant walking away from bottled water (at restaurants as well as at home) and perhaps showering a little quicker and, perhaps, less frequently... On average, every minute under the shower represents 2 gallons or 7 1/2 litres. (Find out how much water you use daily with this handy USGS calculator here). There's a continuing business opportunity for the water filter companies, although it is not so good for the shower gel business.
Goods that are good for you and the end of consumerism
I would argue that, for an ever growing part of the population, there is going to be a true and lasting trend away from hyper consumerism. Ownership is not all it is be cracked up to be. Beyond the worry of reduced finances, the issue of buying and owning goods is one of quality of life: people will come to the realisation that owning too much is actually a burden, a headache, often times actually creating additional embedded costs and hassles; and, it certainly does not lead to greater happiness.

Someone who owns more than two homes knows what I am talking about: each home creates multiples of paperwork, presumably having to adjust to different rules and regulations. Just making sure that each house is stocked with the basics, much less complete dinner settings, etc. is quite the ongoing exercise. If you are someone who owns a super expensive car, you know that investing in spare parts and getting little scratch marks fixed is a hassle -- especially as you roam away from the local dealership. Finding "protected" parking when you decide to take your jazzy car for a ride in town is an extra constraint. Of course, having too much of anything means that you need to have the space to store it... extra hassle and expenses. One of the more potent trends that plays to avoiding owning yet another holiday house: swapping homes (whether for the holidays or not). Here's a plug for a friend's initiative, Geenee, which allows for a swap with the "world's best."

On another level, eating at home as opposed to going out to the restaurant will create a new culture of homecooking, with a sharper attention to the ingredients (not just their cost). There has apparently been tremendous growth in cooking school enrollments. And, in a similar vein, there is also the notion of SLOW FOOD*, as promoted diligently and valiantly in the US by Alice Waters (check out her restaurant Chez Panisse in Berkeley CA where they serve only in-season fruit and vegetables).

So, the lasting trend here is a move away from amassing goods that crimp my space, burden my mind and waste resources. Instead, people will focus on goods that bring mental freedom, physical health and, hopefully, a smile to the face. As the literature and media coverage latches on to this trend, I see this trend going mainstream even in the rich circles. Recommended reading: The Story of Stuff by Annie Leonard and The Art of Simpe Food by Alice Waters.

Buy Local
There are two driving forces to buy local: "sustainable development" and latent protectionism. If you buy locally produced goods, the concept is that the items didn't use as many resources travelling from faraway lands, and at the same time that you are supporting your local community. There are two subplots to this trend: the potential revival of the feelgood effect of buying from a local shopkeeper who knows you (even by name!), and greater attention to the content ("made in" labels) and ingredients ("made of"). In economic tough times, this may be a counter-intuitive trend in that mom & pop stores have a hard time competing on price. Nonetheless, I would look for this "Buy Local" trend to prosper on the other side of the recession.

Sharing, renting and leasing versus buying
There are certainly economic reasons for not being able to buy something and, to the extent the item you are looking to buy is for limited use (e.g. a new dress for a party, a bigger car for a 2 week family holiday...), the option of sharing, renting or leasing becomes more inviting. Sharing & renting may also be collateral plays on the reduced need/desire to buy and own (point 2 above) as the need to preserve and store the item(s) is less onerous. Sharing & renting also pander well to the green conscience. With this burgeoning trend, there are many new offers that have cropped up. I cite a few of the more interesting ones that I have come across:
  • Zipcar: a for-profit, membership-based carsharing company providing automobile rental to its members, billable by the hour or day.
  • ArtRentandlease.com: providing "rotating monthly rental packages, Fine Art Leases and direct sales... Individual prices start at just $20 per month, including eco-friendly Green Art."
  • Avelle, or BagBorrowSteal: Rent by the week, the month or for as long as you'd like top fashion brand names for jewelry, handbags, sunglasses, watches, etc. "There's never a late fee." You don't have to be a member, but if you are, the prices are better.
  • Babyplays: A membership-based online toy rental site. About time kids' closets stopped bursting with just-opened, barely used toys, no?
Craigslist, Olx and eBay are the leading internet plays on the circulation of second-hand goods (and services). With Craigslist and Olx, there is the local play as well.

Underpinning virtually all these structural changes in behaviour are (1) the internet and (2) sustainable development.
I wrote a while back about how inter-related I felt web 2.0 and sustainable development are (read here), and when you overlay the evident economic benefits, I can only reinforce how this crisis will accelerate the changes and how, coming out on the other end, we will all be that much more on the web, taking advantage of new behaviours and goods & services, indeed creating a kind of new 'unpop' eco-culture.

*Slow Food, a non-profit, eco-gastronomic member-supported organization, was borne out of the anti-fast food movement in France in 1989 and is headquartered in Bra, Italy. Slow Food stands against "the disappearance of local food traditions and people’s dwindling interest in the food they eat, where it comes from, how it tastes and how our food choices affect the rest of the world. To do that, Slow Food brings together pleasure and responsibility, and makes them inseparable." The organisation boasts over 100,000 members in 132 countries.