Shrines to Frustration

By | November 22, 2011

It’s depressing that two gripes I’ve posted, both at least a year old, continue to get comments which push both posts to the top of the search engines. My grumbles about accessing Xdrive, an online storage service bought by AOL, comes out top if you search for xdrive problems on Google. Search for cancel napster and my post about how hard it was to cancel the service comes as the next result below a couple of official Napster sites. Both posts got more comments in the last few hours.

I’m not particularly proud about this; I’ve already written a column about Napster’s poor cancellation process, and bad press doesn’t seem to bother either company. (Although maybe AOL might start changing its practice after Randall Stross’ piece in the NYT about how customer service reps are instructed to try more or less every trick before complying with customer requests to cancel their account.

Wearing my WSJ.com hat, I’ve talked to both AOL and Napster about these problems and it seems in both cases neither problem has been fixed. If they had, why would people keep posting horror stories? Somehow I doubt these two cases are exceptional. I imagine there must be hundreds of companies out there where single blog posts have become shrines to customer frustration. Fortunately in both cases readers have added useful advice in the comments so it’s not all just blowing off steam. But why aren’t big companies more proactive about these things by monitoring search results and reaching out to websites or blogs that attract this kind of traffic?

The Consultant Scam

By | November 22, 2011

This is nothing to do with technology but it’s something close to my heart: the waste of money that are many aid projects. British charity organisation ActionAid UK has issued a report which reveals the high cost of consultants:

Aid provided by rich governments needs to target poverty. Instead, one quarter of their aid – $20bn a year – funds expensive and often ineffective western consultants, research and training.

This is no truer than in Indonesia and East Timor, where huge amounts of money are spent on projects that go on for years. All these are led by foreigners. The East Timorese government recently collapsed in an orgy of violence, effectively taking the country back to when it first liberated itself from Indonesia in 1999. How much money had been spent in the interim on building up those institutions, and how much of that money went to foreign consultants? As the report says:

A typical cost of an expatriate consultant will be in the region of $200,000 a year. According to the OECD, in typical cases more than one third of this is spent on school fees and child allowances – spending which would not be needed if local consultants were used.

Findings show that in Cambodia, consultants’ fees were $17,000 a month while government salaries were only $40. In Ghana, even relatively inexperienced consultants earned per day what government officials earned in a month. In Sierra Leone, according to one former UK-funded consultant, daily take-home pay was the same as the Auditor General’s monthly salary.

It’s not as if all these consultants actually help:

In Tanzania, Japanese consultants on an irrigation project introduced the use of diesel pumps that have become too expensive for local farmers. A massive increase in fuel costs have made them three times more expensive than other alternatives. The pumps now lie idle and farmers are worse off than before.

This is not a one off. I’ve heard dozens of these kinds of stories.

It has to be said that some projects are excellent and the consultants doing great work. To attract these people so they are willing to commit to a career in this field the rewards need to be attractive; it’s OK to do some voluntary work for a year or two, but not many are going to dedicate a life to it. But too often the money is silly money, and much of it is wasted on mediocre work. And the priorities are skewed: Usually the consultant’s goal primarily to extend the contract, or use his or her final report to argue for extending or furthering the project (which of course means the further hiring of that consultant or his/her organisation.) Rarely does one see a consultant arguing for less projects, less money spent, or simply acknowledgement that their work is not cost-effective and should be canned.

The World Cup Changes

By | November 22, 2011

Maybe it’s cos I don’t follow other sports as slowly, but this World Cup is beginning to feel like a media watershed in several different — and surprising — ways.

  • First off, the supply of World Cup footage to YouTube, and “live” commentary by cellphone from those in the stadium to those outside threatens to overturn the tight FIFA controls on coverage and sponsorship. FIFA stewards can stop people wearing clothing or carrying banners that don’t support the official sponsors, but they can’t keep people’s cellphones out of the stadium. Can they?
  • Secondly the best writing has come from blogs, not from the traditional sports pages of newspapers. But these aren’t pure bloggers, they’re journalists blogging for their newspapers’ or TV stations’ websites. The Guardian, for example, has a stable of writers who have been pushing out excellent blogs. My favorite BBC blogger on the World Cup is Paul Mason, who is actually a business correspondent for the Beeb’s flagship program Newsnight. Of course there are other soccer blogs, but these bloggers not only write well, they write regularly and attract interesting comments.
  • It’s not just about the rise of the bottom up. Some lucky cable subscribers are getting very cool new services, such as commentary in different languages to three or four different viewing perspectives. Sadly where I live we don’t get any of these, but I’ve heard they rock. These are good services to provide and it’s great to see some imaginative providers offering them. Soccer coverage has usually been woeful: Not enough long view of the pitch, so the viewer has no real sense of who is where on the pitch, while commentators offer very little extra value. Time to change.
  • Some widgets have made following the World Cup action easier, although they are still somewhat primitive.

I’m sure there are lots of non media bloggers out there, but the mainstream media seems to be finally getting it, and the World Cup is a perfect place and topic to do it. Everyone’s an expert in soccer, and no one is shy about offering an opinion. In some ways it’s a great leveler and a great showcase for participatory journalism.

The Defense Minister’s Blog

By | November 22, 2011

I’m much amused that news that Juwono Sudarsono, a lovely man and Indonesia’s defense minister, has started blogging has hit the blogosphere. This from Shel Israel, co-author of naked conversations:

Yesterday, I wrote a piece about politician blogging. Today, I realized how very myopic that post was because I wrote only about American politicos and cited Independence Day. This came to my attention today through the Jakarta Post, where reporter Ong Hock Chuan mentions Naked Conversations in an article about Indonesia’s Defense Minister Juwono Sudarsono has started a blog.

Sudarsono’s most recent post deals with striking candor of the challenges of getting bureaucrats who clicked their heals in obedience under past government dictators to move with efficacy in the new democracy. His language remains a bit formal, but the content is pretty impressive stuff.

Blogging really is changing the world. I’m happy to be reminded of how much.

This even got picked up by a blogger at the World Bank (yes, I know! Whatever next?) who says it might be a hoax. It’s not; it’s legit. The site is held together by one of Juwono’s sons.

Actually, it is an important development, but with all due respect to Shel, Ong (who started all this discussion) and to the Bank, it’s probably a bit early to cite it as an example of blogging changing the world. Juwono is a very well respected figure in Indonesian politics, but he has always trod a lonely furrow. As far as I know he’s the first senior figure in either business or government in this country who has embarked on this initiative, and it’ll be interesting to see how it develops. He is engaging a young Indonesian audience and a foreign readership who remain understandably skeptical of the country’s leadership and direction. What he is not able to do through a blog is to engage the 200 million odd Indonesians who don’t have access to a computer, an Internet connection or English lessons. What is impressive, however, is that Juwono has replied to those people commenting on his blog (twice, on this post) so this is a good start. Congratulations, Pak.

Google’s Real Problem

By | November 22, 2011

There’s some interesting chat about whether Google is in trouble, although none of the pieces ask the question that I think is the most important one. BusinessWeek points to the fact that none of its new products are really gaining traction, which may be less down to the quality of those products — Earth, Finance, Chat etc — and more down to the fact that the whole point about Google for most people is keeping things simple:

The problem is that every time Google branches out, it struggles with the very thing that makes its search engine so successful: simplicity. The minimalist Google home page offers a stark contrast with the cluttered sites of key rivals Yahoo and MSN. People go to Google to find information fast. So Google can’t showcase its plethora of new products without jeopardizing this sleek interface and the popularity that generates a $6 billion geyser of cash from search ads. But the lack of exposure for its new products means only 10% of Google visitors use it for anything other than Web and image searches, says Hitwise.

To that I’d add the fact that it’s not just about exposure. Most people use the Internet for simple things, like finding stuff. They’re just not that interested in other things, however much we’d like them to be.

Meanwhile Robert Scoble wonders aloud why there is no real Google presence at the Gnomedex conference, a select gathering of developers and dweebs. And someone called SlashChick writes along the same lines as BusinessWeek, pointing out that Google’s approach of allowing employees to use 20% of their time developing new ideas may be fine when it’s a private, smallish company, but now it’s getting big won’t work so well if those projects make only a few hundred thousand dollars for the company. Alongside the earnings from AdSense, assigning employees to maintain these products will be hard to justify:

Once Google realizes they have to cut back and only continue development on the projects that did “stick”, inevitably, they will crush a few of their developers’ hearts. I have a feeling some of those developers may even become jaded and go out and start their own companies (sort of like the many software companies spawned by former Microsofties in Redmond.) Those companies may even grow to become quite successful. Hmm…

Good points, and it’s interesting to see how this view leaves Google vulnerable. Of course, it only needs one of these products to be vaguely as successful as search to draw enough users to justify it. And perhaps Google is hoping that one of its Microsoft-killers will kick in, and then the tables will be turned.

But all this rests on the idea that Google Search and AdSense continue their symbiotic relationship. The first provides dominant search, the second provides dominant ads that (for the most part) come from people using Google Search. AdSense would never have been successful were it not for Search, since the latter gets the eyeballs, the former brings in the cash. But what happens when one starts poisoning the other? What happens if AdSense starts to undermine the efficacy of Search? I’d argue this is already happening: web spammers are already successfully manipulating search results so that users visit their AdSense-laden web sites. This is happening with both ordinary search and News Search. Despite the obvious conflicts of interest here, most worrying for Google’s shareholders is the idea that its search engine may not be good enough anymore. Is this what’s keeping Google’s developers away from Gnomedex?