Corporate Responsibility and Black Lives Matter: Put Money Where Your Hashtags Are

Over the past week I’ve seen a lot of blacked out squares with some semblance of corporate PR speak about honoring diversity and supporting #BlackLivesMatter. Leaders have sent out emails within their organizations explaining how the organization supports the movement and in many cases, this has actually come with some financial donation, like $1,000,000 to NAACP and/or ACLU. These are fantastic gestures. However, they often feel empty. This twitter video really highlights why.

Another reason these gestures feel less than sincere is that the businesses that are coming out and saying these things, often have significant contracts with law enforcement, the Border Patrol, FBI, or national intelligence organizations. For example, Amazon has put out comments around supporting BLM. However, their Ring subsidiary has contracts with at least 400 police organizations nationwide. In fact, they were talking about increasing this and adding facial recognition to the recordings as recently as January.

Furthermore, many companies provide discounts and negotiated rates with local government employees. This, of course, includes police forces. Apple is an example that has Federal, State, and Local Government discounts. We shouldn’t find this surprising, as these organizations have massive buying power together. Companies like Intel also get discounts from the Apple store. However, if Apple is serious about more than just Diversity and Inclusion, Apple should drop discounts for cities and states with high numbers of police brutality cases.

For organizations that really want to make a difference where Black Lives Matter is more than just a hashtag to jump on to show “solidarity,” the ultimate expression of this is through divestment of support for the police. Hold police organizations accountable by removing special treatment. Hold police accountable by cancelling contracts for cloud storage. Hold police accountable by eliminated contracts for facial recognition. Hold police accountable by cancelling IT modernization projects. Hold police accountable by cancelling consulting contracts.

Collectively, define the requirements for restarting engagement. These demands include reduction of police brutalities (ideally as close to zero as possible), elimination of Qualified Immunity (or significant reduction), prosecution of police officers for excessive force, including murder, restructuring of police union contracts to prevent bad cops from being rehired, reintroduction of community policing efforts, introduction of civilian management boards.

These are some ideas provided by the BLM community. I’m ultimately not the right person to be dictating these requirements. Companies that are claiming solidarity should work with Black community leaders to identify the criteria for working with police departments again. Any other than true solidarity through divestment is just more words. Words that may be true, but without action, those words are meaningless. Without forcing the police departments to make change through dropping support, nothing will change. By enabling infrastructure, you’re enabling police brutality.

Below are some more ideas from Killer Mike:

White Americans Need to Understand What White Supremacy Means

I’ve been struggling with what to do in regard to the George Floyd protests, because I’m immunocompromised and can’t physically get involved. How to think about the protests. How to talk about these topics with my friends, mostly white. It’s been something I’ve been thinking about for a while now. Something that I plan to write about in my next book (I’m in the process of finishing up a fantasy book and started the sequel). However, for me to do that effectively, I think it’s important for me and for other white Americans to understand American history from a different context.

First of all, we have to acknowledge that most of our education has come from a very white perspective. Furthermore, that perspective has been sanitized by the state you grew up in. Sure, the books might be written for multiple states and now has more federal oversight with Common Core, but that just means that it’s been sanitized even more. That you’re less likely to have views critical to US history presented in high school. It’s why College history courses will seem so shockingly radical to a lot of people, because historians are expected to present multiple views to help build critical thinking in the next generation of historians.

So, we, white Americans, need to do the hard work of educating ourselves. If we want to meaningfully add to the conversation or really understand what we should do, we need to take a hard look at what it means to be a White American. We need to understand what it means when African American thinkers talk about White Supremacy. We need to talk about how we benefit from the US’s power structure.

This morning I was watching a video on fictional and Fantasy writing world building. The video referenced a paper by Dr. Abraham V. Thomas, called “Is there a Caste System in India?” the author compared the US and India and argued that both India and the US have Caste systems. Caste systems, if you aren’t aware, are a “philosophical” or “morally” driven hierarchy to society. That there’s a reason why one group of people should be on the top of society while others should be beneath them. In some cases, like in India’s historic Caste system, this means there “Untouchables” which are only good for cleaning sewage (and a few other tasks). In the US, the historic philosophy is one of superiority of the White Race over the Black Race. Which was the philosophical underpinning for slavery.

I think this is an important way of framing how you think about these race discussions. If you read a tweet that talks about how white Americans benefit from White Supremacy, this is what they are saying. You’re in the top Caste because you are White. You may not literally be a White Supremacist, but you are benefiting from the history of White Supremacy in this country.

This was a hard thing for me to understand. Because I would read tweets by activists like Bree Newsome it’d be difficult to square who I thought I was and how I’ve worked to get where I am with what she was saying. I’d get upset. “I’d say, I’m not that person. I didn’t benefit from that! I hate it!” However, before engaging, I remembered a tweet I saw from a Physicist and Historian of Race in Science Technology and Mathematics, Chanda Prescod-Weinstein who begged that White people need to listen before talking. So, I’ve really focused on listening to what women like Chanda and Bree are saying rather than engaging.

Through listening, I’ve really learned that I was too ignorant to have a meaningful engagement with either of them over Twitter. That they and other activists like @Negrosubversive (I don’t know his name) are speaking of their lived experience and how they are experiencing the world. Simply because I don’t understand it doesn’t mean that I have the right to negate it because i don’t think their experiences directly apply to my life.

When people are asking about, how should I talk to my kids about what’s happening right now? Well, I think the first step is to get more educated. Follow on Twitter activists. Read books written by Black, Indigenous, and People of Color (BIPOC) historians. Read literature. Learn the context so you can inform your kid correctly.

After reading portions of the 1619 Project, which does have some flaws (according to some Historians), I went on to read An Indigenous People’s History of the United States, I recently ordered Between the World and Me by Ta-Nehisi Coates and White Rage By Carol Anderson. When they come in, I’ll write book reviews about them.

It’s our responsibility to get educated so we can help break down our system so we can have a more Just and equitable society. Will it be painful for white America? Yes. Will we be better for it? Yes. So, start by getting educated. Learn and Listen. Only then, can we really engage.

A Post Crisis, Economic Recovery and Crisis Mitigation Proposal

In my last post, I argued that Supply Chains increased the spread of the COVID-19 Pandemic. I proposed the idea of regional centers for manufacturing to minimize sprawling supply chains and to encourage local innovation to meet different needs based on those regions. I think I need to take this to the next step. Localizing ability to respond to crises. Obviously there are huge benefits to scaling manufacturing capability during times of stability and crisis alike. The cost of making a single N95 mask is much lower whenever you know you’re going to crank out another 100,000 masks over the next few weeks. Because the cost of all that capital equipment is spread across all the masks.

However, because of the centralization of these manufacturing centers, in many cases in China or South East Asia, this creates a supply issue if the entire world needs the exact same thing. This requires a strong central buyer to compete on the market to buy additional supplies. In the US that should be the Federal Government. Sadly, this hasn’t happened and in fact, the President is playing favorites with states and providing medical supplies. This is hugely problematic. However, there’s an opportunity here to protect states in the future from an outbreak and to rebuild the economy.

I propose that states, let’s go with Oregon, cause I live there, creates regional innovation and manufacturing centers (OIMC – Oregon Innovation and Manufacturing Center). These OIMC should be positioned at least one per country, but carefully to ensure that if there’s a critical event, such as a Cascade Subduction Event, the region will have an OIMC on each side of the event. In the Portland Metro Area we’d want one in Easter Portland and one in Beaverton or Hillsboro. Furthermore, these should be located in such a way that if a tsunami hits the coast, an OIMC can double as a shelter and emergency production center.

The goal of the OIMC at the surface would be to manufacture critical items during a crisis. For example an OIMC would have the inventory to build ventilators, N95 masks, disease test kits, materials to stop flooding, fight fires, or whatever major crisis emergency items that might impact that specific region. For example, Roseburg might have more items to fight forest fires than the Portland region, because of the types of crises that impact that region. The list of items should be defined by a combination of FEMA and that state’s emergency and health agency.

However, we can’t just have an OIMC doing this sort of work. There aren’t enough crises (thankfully), to warrant establishing a dozen or more of these locations. That’s why these aren’t just Crisis Manufacturing Centers, these are innovation centers. They become a low cost rental space for businesses to start. For example, you want to open a welding shop but can’t afford the cost of equipment, hiring people, managing books, and the cost of a place to rent? No problem, the OIMC will offer business loans and services to manage HR, your books, sales, and provide a no cost then low cost rental location. You have trouble hiring people with the right skills? No problem the OIMC will offer year round training sessions on a variety of tools. It will have to because it will need to have all the skills to make those critical items.

Wait a minute, won’t the OIMC be competing with other companies? Yes. However, whenever we are not in crisis the OIMC can become flex capacity that companies can rent out until they have the capital they need to expand their business. So, during normal time the State of Oregon is not competing with medical suppliers. They are place that offers services instead. This will allow the OIMC to essentially pay for itself.

Furthermore, these centers offer an opportunity for the region to develop and build technologies they need to support themselves. Given the cost of some farming equipment, the OIMC could elect to manufacture some lower cost farming equipment in really hard hit regions. There are some blueprints at Open Source Ecology which can provide an idea of what we could build, if we need these OIMC to provide a lot of capability during a short time.

Holistically, I think this approach can provide flexible manufacturing capability during a major crisis that will allow states and counties to meet their need when the entire country is stressed at once. It will provide regional support during times of emergencies, which seem to occur more and more frequently, and it can provide an opportunity to rebuild communities by offering skills and spaces to start new businesses. Everyone is going to be hit hard by this pandemic. We need a serious plan for addressing this.

Supply Chains Increase the Likelihood of Pandemics

I think in general the way we respond to this COVID-19 (Coronavirus) pandemic will position us to manage the next pandemic. I know that isn’t something anyone wants to be thinking about as we’re barely into this pandemic. Deaths are rising. We have political leaders making choices around managing the stock market which isn’t the economy. If you want proof of that look at the stock markets response to 3.3 million unemployed in a single week in the US. The Dow Jones Industrial Average increase by 17%.

By having ample supply for treating patients and building strong robust processes we can manage the current pandemic. We can minimize the impact to the overall economy and come back stronger than before. Especially if we make some structural changes that make the direct impact of getting sick survivable. This article isn’t about what those should be.

Instead I’m looking at the forces that increased the likelihood of spreading this disease. Shareholder Value, or more precisely the impact that focusing on shareholder value had on business decisions. Since the Friedman Doctrine was introduced in 1970, we have a steady movement for outsourcing and offshoring. Both of these helped reduce the direct labor costs and environmental regulatory burden on manufacturing companies. It’s helped economies like South Korea, China, Taiwan, portions of Eastern Europe, and most of South East Asia move dramatically from a more agrarian and textile economy – similar to what we see in Africa today – to a modern economy. We can see this through trade, Cesar Hidalgo has dome some amazing research on this and I highly recommend reading his book Why Information Grows, because he outlines some of the reasons why economies mature over time from agrarian to producing semiconductors.

To summarize it, it all starts with trade patterns. You are able to see the knowledge gain in specific sectors in how the trade patterns evolve over time. For example dye making eventually leads into manufacturing pharmaceuticals and other chemical businesses. Eventually this leads to the capability to manufacture semiconductors as all of these use the same sort of fundamental sciences. Hidalgo argues this capability has to mature over time and local expertise must mature. Through the types of items a given country exports we can see how that knowledge is growing and changing over time. Eventually, these countries will create their own businesses to compete with mature companies.

This last part isn’t much of a surprise for anyone that’s read any of the Innovator’s Dilemma books. This is a common practices of dropping “value” functions to lower cost countries and companies from those countries. AsusTEK is an example of this. They started as a supplier to Dell and eventually pushed Dell (for a time) out of a number of markets. In some markets Dell hasn’t been able to reestablish itself and likely never will.

So what does all this have to do with a pandemic? Well as we increase the amount of trade with countries outside of our own region we increase the amount of connections between our country and that country. Those connections must be maintained by people. Since China is a significant trade partner and has manufacturing capability spread out all over the country, it was inevitable that a virus in one part of the country spread quickly through out. In fact the highspeed rail made it incredibly likely. Furthermore, with all the manufacturing in Wuhan, that increase the likelihood of people outside of China coming in contact with the disease.

Since our business leaders have decided to invest so heavily in China, we have something of a weakspot in our supply chain for any future pandemic that starts there. However, for other countries the US or portions of Europe would equally be as likely as source of pandemic source. There’s just a lot of business being done in these countries.

The larger problem will be that because there are zones of high concentration for specific industries in specific countries, that people will be traveling very frequently to those areas. How do we address this, since this is basically what trade is all about.

Well, I think that there’s a solution in the idea of regional production capability. For example, Zara has a lot of regional locations for manufacturing. This can help with supply across both that region and other regions for when there’s a crisis. This minimize the economic impact on Zara as the the crisis moves across the world. Furthermore, this is a good business strategy because regionally disparate countries have different fashion tastes and desires for a given time of the year.

In other cases, the idea of Reverse Innovation can play a key role in this. Reverse innovation is where creating a product that’s profitable in, say, rural India, could be brought back to a place like the United States and sold for an even larger profit. This allows for continually lowering costs, as the product itself would naturally be cheaper, and probably lower total cost of ownership, as the Indians using the equipment may have different skills or tools available and may not be able repair the high tech stuff we can in the US.

An example of where this approach would be highly beneficial to the entire world is with Ventilators. In the US a new one can cost upwards of $25,000, which is obviously out the of the price range of most hospitals in Rural India. If you make on cost effectively in India (which MIT just released plans for a $100 ventilator) you could make it very affordable and would easily allow governments to create stockpiles. It would also allow businesses to quickly tool up and make them, since it looks like they use off the shelf parts.

If business leaders and governments focus on regionalizing supply chains and encouraging reverse innovation, we can work to slow the effects of the next Pandemic. We’d be more positioned to flex supply to meet the increase of demand during the crisis. We’d reduce the amount of travel to potential hotspots, as fewer people would need to travel internationally to meet with suppliers. No more long haul trips to Asia for most people.

In the end, we’d end up creating more share holder value doing this, because we’re meeting customer demand while continually improving products and responsiveness to changes. We will have another pandemic. We will have other market crashes. Planning for them during this one will reduce the impact of the next one.

Book Review: Managing the Unmanageable

Managing the Unmanageable: Rules, Tools, and Insights for Managing Software People and TeamsManaging the Unmanageable: Rules, Tools, and Insights for Managing Software People and Teams by Mickey W. Mantle
My rating: 5 of 5 stars

If you are new to managing a team this is a must read for you. While the book is intended for managers of programmers (developers, software engineers, etc…) I believe this book applies to just about any sort of creative. Obviously, some sections will be less applicable to architects like the agile sections, but in general, creatives are creatives. The authors, to some extent, recognize this by continually comparing software developers to musicians. Arguing, in fact, that the best programmers are typically fantastic musicians. There’s a similarity in the way the brain works between musicians and developers. I think this applies to other artists as well, especially ones that under went rigorous training to be an artist. There are processes you need to follow to enact your vision.

Anyway, the book itself offers very candid advice on everything hiring, firing, building local and remote teams, coaching, rewarding, and having fun.

The authors argue that hiring is the most important job of any manager. I think this is true from my experience interviewing people and managing people. Whenever you hire someone the work environment shifts. So you need to make sure that whatever change the person brings is a net positive for the team. To ensure that you get the right combination of fit and skill you must have a rigorous process for finding potential candidates, screening candidates, and interviewing candidates. If you do not you will pay for it later by losing your best people or being required to fire that hire in the future for lack of performance.

All this and templates are laid out in the book. The tools and rules of thumb are fantastic for first time managers and managers that have struggled to hire the right team.

The authors argue the most important functions of a manager are Hiring/Firing, Coaching, Developing individuals and teams. I think this is right. The manager should be technical enough to help with the team as needed, but shouldn’t be expected to roll up their sleeves too much. Their skill is more important in investigating logical approaches than the specifics of coding. However, there are a lot of people that believe their manager should be able to do their job. Which i think has a lot of merit.

This book also has some great ideas of how to convert traditional managers into agile managers. Ironically, if you follow their advice through most of the book, you’ll be well positioned to be an excelled agile manager positions to remove impediments.

I highly recommend this book for any one managing programmers, engineers, or creatives in general.

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