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As I mentioned in my kickoff post, we will host a series of blog interviews over the next two weeks with speakers from our upcoming PreCommerce Summit (March 10) and Movers & Shapers Summit (March 12). Today’s interview is with Javier Boix, Sr. Director, StoryLab, Abbvie

According to Javier’s LinkedIn profile, he is a “global communications executive with 15 years of experience in agency and corporate roles. Results-oriented, assertive, and able to navigate challenging and highly regulated environments that demand negotiating with and influencing a variety of stakeholders, juggling with multiple tasks and the ability to consolidate information from multiple sources.” Some of the skills he’s been endorsed for by his peers are corporate communications, internal communications and my favorite, strategic thinking.a - JavierBoix

Without further ado, let’s jump right into our five questions:

  1. Aaron: How do you define innovation?
    Javier: I don’t define innovation; innovation defines me. Kidding aside. How about “Combining two existing ideas to come up with something new and better.”?
  2. Aaron: What are you or your organization doing to drive innovation?
    Javier: It’s easy to get swallowed by the day to day; so keeping an eye on what’s going on outside of the company keeps me fresh.
  3. Aaron: Who is someone in your industry (or outside) that you admire? Why?
    Javier: Tomas Kellner. I don’t know him, but I recently found out about what he is doing with “GE Reports” and I love it.
  4. Aaron: Where do you see your industry being in 3 years? 5? 10?
    Javier: Hopefully in a place where our ability to drive innovation and make possibilities real is properly recognized.
  5. Aaron: What book are you reading right now? How did you choose it?
    Javier: I am not an avid reader, so this one is going to leave me in a bad place. I just finished “The Special One. The Secret World of Jose Mourinho.” As a good Spaniard, I am a huge soccer fan (Barcelona fan, for further detail). I read it because I wanted to understand what’s behind such character, and I did (but won’t disclose my opinion here, just in case…)
  6. BONUS QUESTION: What three things would you make sure you brought with you in a zombie apocalypse?
    Could it be five? If so, my wife and 4 children. If not, the 4 children are pretty young, so we can pair them up in groups of two so they only count as two (plus my wife, that makes three).

Thank you Javier. Well done. And extra credit for answering the bonus question. I would prioritize exactly the same way!

Every quarter, investor relations professionals spend hours preparing press releases and conference call scripts to provide updates on their company’s recent milestones and financial status. Sometimes even that is usually not enough to tell the whole story, with most public companies also conducting a Q&A session during their quarterly calls. With all of that work going into fine tuning your messages and providing a comprehensive vision, how can you possibly be expected to condense that story into a 140 character tweet?

The short answer is, you can’t. As an upcoming SXSW panel (140 Characters, Zero Context) will discuss, the character limitations on Twitter can make providing context to your story difficult, to say the least. But since you can’t just ignore a channel that is rapidly being adopted by the media and investors alike, you need to find a way to work within those limitations to make sure that more than just your stock price gets shared.

In starting this conversation, the first question I typically get from CFOs is, do investors really care about social media? The answer to that has been shown to be unequivocally yes. You could easily look at the number of followers of major financial media (Jim Cramer from MadMoney has nearly 1 million followers) for an answer but recently there have also been some studies showing how investors use social media and the impact that it can have on their behavior and opinions.

Greenwich Associates conducted a survey of 256 investors from the US, Europe and Asia and 80 percent say they use social media as part of their workflow. Nearly a third of these investors stated the information obtained through social media directly influences investment decisions. The other interesting tidbit from this study is that while investors use Twitter to track breaking news and company updates, LinkedIn is the most popular platform for work-related purposes.

This may lead to the question then of why even bother with Twitter, why not just move to other platforms that are less restrictive. There are several reasons why Twitter should not be ignored. First, it generates a significant volume of conversation. So far this year, Gilead ($GILD) has been mentioned in nearly 50,000 tweets. Even smaller companies can see a lot of traction on Twitter. In a nod to SXSW, let’s look at an Austin-based company – Luminex ($LMNX), a small-cap company that develops and markets biological tests has been mentioned on Twitter over 1,100 times so far this year.

The second reason not to ignore Twitter is that even with the character restrictions, Twitter is one of the best ways to engage directly with your audiences. You can convey a sense to trust and transparency and truly build a relationship with people in 140 characters. This is supported by a study from the University of Illinois that showed that when a tweeting CEO shared negative news from their personal handle, 46 percent of investors perceived the poor financial results to be a one-time event, compared to those who learned of the information from a CEO letter on the company website (eight percent), from the IR portal on the company website (nine percent) or through an IR or corporate twitter handle (12 percent). Having the CEO engage in what felt like a personal level on Twitter was shown to actually help buoy the company’s stock price during difficult times.

This leads us to the foundational reason why having a comprehensive social media strategy is so important: the channels are used differently. Even when you cannot tell the full story, Twitter can be an extremely effective channel to provide quick updates and teasers to where to find more information, to guide people to blogs, webcasts or LinkedIn posts where you do have the real estate to provide context beyond 140 characters. Think of Twitter as the guy on the airport tarmac directing planes where to go. You are guiding your audience to another platform where they can read about your whole story rather than just see the most recent update on your stock price. But Twitter is also an excellent opportunity to humanize your news, to build trust with your investors. By showing that your management team is invested in building the best company possible, you are providing that intangible context that doesn’t always shine through in a press release or investor presentation. That context can be just as valuable as anything beyond 140 characters.

As some of you know, we host a series of events leading up to (and slightly overlapping) SXSW Interactive. Two of our most popular events are our PreCommerce Summit held on Thursday, March 10 and our new(ish) Movers & Shapers event on Saturday, March 12. Both feature a variety of brand leaders and thought partners — all focusing on how business is changing. Or put in simpler terms, innovation.

Over the next two weeks, I will feature a variety of those speakers here. First up is from Mark Young who is the CMO of Sysomos, one of this year’s premier sponsors and a close partner of W2O Group’s. I’ve asked each of our speakers the same five questions (plus a fun/bonus question). Of course some will adjust the questions to be more germane to their talks/business but ideally at least in the neighborhood of what I asked.

Here’s the list so far along with a few I know who will be contributing over the next couple of days:

  • Mark Young, CMO, Sysomos [interview here]
  • Javier Boix, Senior Director, StoryLab, AbbVie  [interview here]
  • Brian Solis, Author & Principal Analyst, Altimeter [interview here]
  • Lord Peter Chadlington, former CEO of Huntsworth PLC and founder/former Chairman of Shandwick Int, PLC [interview here]
  • Chris Heuer, CEO of Alynd and founder of Will Someone [interview here]
  • Patrick Moorhead, Founder of Moor Insights & Strategy [interview here]
  • Julie Borlaug, Associate Director, Borlaug Institute [interview here]
  • Kyle Flaherty, VP Solutions Marketing, Rapid7 [interview here]
  • Amy von Walter, VP, Best Buy
  • Alex Gruzen, CEO, WiTricity
  • Manny Kostas, SVP and Global Head of Platforms & Future Technology, HP

As I mentioned in my kickoff post, we will host a series of blog interviews over the next two weeks with speakers from our upcoming PreCommerce Summit (March 10) and Movers & Shapers Summit (March 12). Today’s interview starts with the CMO of Sysomos, Mark Young.

According to Mark’s LinkedIn profile, prior to joining Sysomos as their CMO he has worked in various roles such as EVP of Marketing solutions at Clear Channel Outdoor, Senior Director of Business Development at Intellectual Ventures and GM at Microsoft (who are those guys?). He’s also been endorsed for such topics as “strategic partnerships, management, business development, leadership, marketing and SaaS.” Not too shabby!a - MarkYoung

Without further ado, let’s jump right into our five questions:

  1. Aaron: How do you define innovation?
    Mark: I believe only true step functions can be innovation, the rest is evolution, which is great, but I like to save it for unique ideas.
  2. Aaron: What are you or your organization doing to drive innovation?
    Mark: Culturally we have built a company where all employees feel they have the ability to listen and create, not just the Data Scientists and Engineers. We had an internal hack-day a few weeks ago and we saw six ideas that were truly different uses of our data science and current technology.
  3. Aaron: Who is someone in your industry (or outside) that you admire? Why?
    Mark: Always my father… but inside the Industry there are so many. I was fortunate to work at Microsoft and got to see Bill Gates not only transform a business but turn that passion into greater good for the world. I feel like Sheryl Sandberg is doing that now. And as a father of a 22 year old woman who loves science, I really admire what Sheryl’s doing.
  4. Aaron: Where do you see your industry being in 3 years? 5? 10?
    Mark: We are on a journey with our clients to reduce the time to find insights and take action. We will move closer and closer to Autonomous solutions that empower marketers to be great story tellers and for consumers to have relevant and timely messages.
  5. Aaron: What book are you reading right now? How did you choose it?
    Mark: Think Like a Freak. Not a great story, my boss read it and recommended 😉

Thank you Mark. Love your answers. And trust me, you could do worse than taking advice from your boss and your spouse. But you knew that already.

It is that time of year again… South by Southwest (SXSW). Once again, our company will be hosting some awesome events leading up to (and slightly overlapping with) SXSW Interactive. For those not familiar, SXSW is a giant conference/festival comprised of three parts: Interactive, Film and Music. Given the importance of Interactive or “digital” to our clients’ business, we take this opportunity to invite many of our clients and partners to town to learn, network and celebrate.

Recap video from our awesome 2015 events

Our signature event, the PreCommerce Summit, takes place on Thursday, March 10 from 9:00 AM to 6:00 PM and is packed with speakers from well-known brands like Bayer, Hewlett Packard, Best Buy, Medtronic, Intel and Overstock.com. We will also have thought leaders from companies like Techonomy, Politico, NewCo and Crowd Companies providing a look at what the future holds in store. This event focuses squarely on innovation and its fast-paced formats (10 to 20 minute TED-like talks, power panels and pithy fireside chats) allow for learning on steroids. And of course there is the networking.

This event will be attended by about 450 plus customers, partners and other industry thought leaders. A cocktail reception will follow with special WILCO side project, Autumn Defense. The event is complementary, but invite only. If you are interested in attending, please email us at info@w2ogroup.com. In that email, be sure to provide name, title and company. We will also be live streaming the event if you can’t physically be there. Registration is open to the public.

In addition to PreCommerce, we also host a digital brunch at our swank offices located in East Austin. If you like food trucks, cold-brewed coffee, music, cocktails, cool demos and lost of interesting people, you will enjoy this. We have also ordered sunny weather so this is a good opportunity to work on your tan.

Every SXSW, we do our best to cover “what’s next” in the world of  business. This year, we’re planning to host an event called “Movers and Shapers” (formerly GeekFest) on Saturday at CB’s (the new VIP event space at Stubbs) from 10:00 A.M – 2:00 P.M. Speakers include senior level marketers and thought leaders from companies like Intel, AbbVie, Galderma, Techonomy and Bayer. Featured speakers will include Ray Kerins, SVP Comms. & Govt. Relations at Bayer and Robert Scoble, Futurist at Rackspace.

In addition to these three amazing events, we will also host our seventh annual Geekacue Saturday night at iconic Stubbs BBQ on Red River. This year, we’ve booked Red Bull Sound Select artist, Not in the Face along with new festival darling, Black Pistol Fire (check out their video below).

If you need more proof that these events are amazing, check out my 2015 wrap up post.

You can find information on all of our events here.

Thursday, March 10th: Sixth Annual PreCommerce Summit –  It will be a series of 10 minute TED-style talks, panels, and fire side chats.

  • Eventbrite here (password required – email info@w2ogroup.com to request invite)
  • Zach’s Theatre: 1510 Toomey Rd, Austin, TX
  • Sessions run 9:00 A.M.-5:00 P.M.
  • Cocktail Hour from 5:00-6:00PM featuring band, Autumn Defense
  • Live stream available for those not able to attend coming soon
  • Complementary but invite only.

PreCommerce 2016 Speakers Include:

Friday, March 11th: Digital Brunch (350+ director to CMO level brand marketers/digital/social folks expected)

  • RSVP Here (no password required)
  • 3000 East Cesar Chavez, Austin, TX
  • 10:00 A.M. – 2:00 P.M.
  • Food trucks, music, innovative demos, coffee, brunch, and mimosa/Bloody Marys to fuel your first festival day
  • Shuttles available from the Stephen F. Austin Hotel starting at 9:45am

Saturday, March 12th: Movers & Shapers Summit (150 director to CMO level brand marketers/digital/social folks expected)

  • RSVP Here (password required — email info@w2ogroup.com to request invite)
  • Stubbs BBQ — VIP area called CB’s — 801 Red River St, Austin, TX

Movers & Shapers Speakers confirmed include:

7th Annual Geekacue: Saturday, March 12th:  (800 director to CMO level brand marketers/digital/social folks expected)

  • RSVP Here (password required – email info@w2ogroup.com to request invite)
  • Stubbs BBQ – 801 Red River St, Austin, TX
  • 6:00 P.M. – 10:00 P.M.
  • Roundtrip shuttle available from the Stephen F. Austin Hotel starting at 4:45 PM
  • To RSVP contact info@w2ogroup.com (space is limited)

As you can imagine, space is limited at these events so please make sure to RSVP soon. And if you do RSVP and decide after that you can’t make it, please be courteous and let us/me know that your slot is available.

We are over-the-moon excited to have Bayer and SysomosDynamic Signal, Synthesio as our sponsors this year (2-3 more to be announced shortly). We greatly appreciate their support.

It is that time of year again… South by Southwest (SXSW). Once again, our company will be hosting some awesome events leading up to (and slightly overlapping with) SXSW Interactive. For those not familiar, SXSW is a giant conference/festival comprised of three parts: Interactive, Film and Music. Given the importance of Interactive or “digital” to our clients’ business, we take this opportunity to invite many of our clients and partners to town to learn, network and celebrate.

Recap video from our awesome 2015 events

Our signature event, the PreCommerce Summit, takes place on Thursday, March 10 from 9:00 AM to 6:00 PM and is packed with speakers from well-known brands like Bayer, Hewlett Packard, Best Buy, Medtronic, Intel and Overstock.com. We will also have thought leaders from companies like Techonomy, Politico, NewCo and Crowd Companies providing a look at what the future holds in store. This event focuses squarely on innovation and its fast-paced formats (10 to 20 minute TED-like talks, power panels and pithy fireside chats) allow for learning on steroids. And of course there is the networking.

This event will be attended by about 450 plus customers, partners and other industry thought leaders. A cocktail reception will follow with special WILCO side project, Autumn Defense. The event is complementary, but invite only. If you are interested in attending, please email us at info@w2ogroup.com. In that email, be sure to provide name, title and company. We will also be live streaming the event if you can’t physically be there. Registration is open to the public.

In addition to PreCommerce, we also host a digital brunch at our swank offices located in East Austin. If you like food trucks, cold-brewed coffee, music, cocktails, cool demos and lost of interesting people, you will enjoy this. We have also ordered sunny weather so this is a good opportunity to work on your tan.

Every SXSW, we do our best to cover “what’s next” in the world of  business. This year, we’re planning to host an event called “Movers and Shapers” (formerly GeekFest) on Saturday at CB’s (the new VIP event space at Stubbs) from 10:00 A.M – 2:00 P.M. Speakers include senior level marketers and thought leaders from companies like Intel, AbbVie, Galderma, Techonomy and Bayer. Featured speakers will include Ray Kerins, SVP Comms. & Govt. Relations at Bayer and Robert Scoble, Futurist at Rackspace.

In addition to these three amazing events, we will also host our seventh annual Geekacue Saturday night at iconic Stubbs BBQ on Red River. This year, we’ve booked Red Bull Sound Select artist, Not in the Face along with new festival darling, Black Pistol Fire (check out their video below).

If you need more proof that these events are amazing, check out my 2015 wrap up post.

Eventbrite links/details for each event (official link to our events pages here):

Thursday, March 10th: Sixth Annual PreCommerce Summit –  It will be a series of 10 minute TED-style talks, panels, and fire side chats.

  • Eventbrite here (password required – email info@w2ogroup.com to request invite)
  • Topfer Theatre at Zach — 202 S Lamar Blvd, Austin, TX 78704
  • Sessions run 9:00 A.M.-5:00 P.M.
  • Cocktail Hour from 5:00-6:00PM featuring band, Autumn Defense
  • Live stream available for those not able to attend coming soon
  • Complementary but invite only.

PreCommerce 2016 Speakers Include:

Friday, March 11th: Digital Brunch (350+ director to CMO level brand marketers/digital/social folks expected)

  • RSVP Here (no password required)
  • 3000 East Cesar Chavez, Austin, TX
  • 10:00 A.M. – 2:00 P.M.
  • Food trucks, music, innovative demos, coffee, brunch, and mimosa/Bloody Marys to fuel your first festival day
  • Shuttles available from the Stephen F. Austin Hotel starting at 9:45am

Saturday, March 12th: Movers & Shapers Summit (150 director to CMO level brand marketers/digital/social folks expected)

  • RSVP Here (password required — email info@w2ogroup.com to request invite)
  • Stubbs BBQ — VIP area called CB’s — 801 Red River St, Austin, TX

Movers & Shapers Summit Speakers Include:

7th Annual Geekacue: Saturday, March 12th:  (800 director to CMO level brand marketers/digital/social folks expected)

  • RSVP Here (password required – email info@w2ogroup.com to request invite)
  • Stubbs BBQ – 801 Red River St, Austin, TX
  • 6:00 P.M. – 10:00 P.M.
  • Roundtrip shuttle available from the Stephan F. Austin Hotel starting at 4:45 PM

As you can imagine, space is limited at these events so please make sure to RSVP soon. And if you do RSVP and decide after that you can’t make it, please be courteous and let us/me know that your slot is available.

We are over-the-moon excited to have Bayer and SysomosDynamic Signal, Synthesio as our sponsors this year. We greatly appreciate their support.

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With this quote by Jack Welch, Bob Pearson finished his talk at the W2O PreCommerce Summit in London today. The President and Chief Innovation Officer at W2O Group, encouraged the audience to remain nimble to be able to adapt to future trends and changes and shared some of his insights into tomorrow’s world of brands, customers and media.

As described in his book PreCommerce, Bob sees the biggest value for brands in decreasing the distance to their customers and focus on pre-commerce phase vs. the actual point of sale: Only those who are able to listen, will be able to respond and adapt to market needs – maybe even before those needs actually exist.

The digital age definitely enabled brands to be much closer to their target audiences than ever before; however, the structures, relationships and stakeholders, as we have known them for years, will no longer exist in the future. Bob Pearson summarizes this development in four key game changing trends:

  1. Our Definition of Audience Is Changing

If we look at the 1-9-90 model, we can clearly see the former content creators and outlets are no longer as relevant in the online conversation as the 9%, which we define as brand advocates, those who spend their time inside social media channels, who are part of strong peer groups and, who add their views to existing content, that will share the future of your brand’s or company’s story. With this development, the audience is now more important than the outlet.

  1. The PESO model is flipping

As the 9% grow in importance, so does earned and shared media. This requires us to integrate a new media planning model that defines an insight-driven social media channel and influencer strategy, which roles out into campaigns, content and experiences. As part of this model, paid media amplification remains an important part to break through the “noise”, but it will follow conversations and communities more than news.

  1. Markets Don’t Wait for Campaigns Anymore

Digital conversation is dynamic and to be able to participate, brands need to be agile. Providing customers with what they need, where they need it and when they need it, is a challenge that includes our creative approach. Those brands who are able to use data and respond to trends in real-time, with content dynamically changing based on interest, will make the 365 campaign become real.

  1. Micro Segmentation Replaces “Personas”

Or in Bob’s words “We always knew that top-down persona-driven segments of “five audience types” was wrong”. With each person and each audience having their own media ecosystem, the roll-up of these ecosystems defines the media network. In order to customize content to their target audiences, brands need to understand how the audience and their attention are fragmented. Therefore, the future media leaders will excel in audience architecture.

About Bob Pearson

Bob Pearson is President and Chief Innovation Officer at W2O Group. Bob has a unique combination of social media, marketing and communications skills acquired during nearly 25 years at three Fortune BobPearson500 companies and a major consultancy. In 2011, he published his book “Pre-Commerce: How Companies and Customers are Transforming Business Together”, in which he shares ideas for leaders to engage directly with customers to shape their brand and marketplace success. He is currently working on his next book, which will be available in March 2016. “Storytizing” will focus on the importance of creating a compelling and at the same time relevant narrative for your brand.

Together with panelists Steven Overman, CMO at Eastman Kodak, Simon Shipley, Marketing and Innovation Manager at Intel, and Steve Milton, Consultant and Former Corporate Communications director at eBay, Bob Pearson investigates whether evolution is enough to stay relevant in the new digital economy.

There’s a clear need to embrace digital, but do we need to learn more about it before we start our digital agenda to ensure we do it right?

For Bob’s panelists digital is actually something that needs to be part of the mindset of an organization in order to be successful and impactful. Since the nature of the digital world is dynamic and not stable, we need to start acting, but also remain nimble to be able to respond to changes in the future.

Part of our digital transformation should also be a reevaluation of familiar questions: How do global brand behave in local markets? Do we position ourselves as the known and trusted international brand or do we adapt to local needs? Navigating between the waters of global and local has always been a challenge for companies, but when it comes to digital the core question actually diminishes – there is no local. However, we have to think through more tactical implications such as various languages, servers or how we handle e-commerce fulfillment. We are trying to behave in a unified way, but have to figure out how those things can actually be executed.

Another key question in digital is whether or not e-commerce is becoming channel and platform agnostic by integrating the ability to sell and buy into our social channels. It is actually not a question of if, but rather when we see this development, thinking about markets like China, where the integration of the marketplace into the social world is already reality.

So what can online marketing tech companies do to be more relevant and valuable? With a lot of change we need to have a scientist’s mindset, being curious, trying out new things and failing fast, which is not failure, but a way to gain new insights. Most importantly we need to listen of what people care about and can no longer assume we know.

Like Aaron mentioned, was thrilled to see more amazing speakers at our inaugural Geekfest SXSW event. I think just about all who listened to the discussion about cybersecurity came away with the same takeaway: it’s a bigger problem than you think.

TK Keanini (CTO – Lancope)  kicked things off with Cybersecurity: a Game of Innovation. In his presentation, he made the case that cybersecurity is an ongoing game of innovation, where both sides work to out-innovate the other. He started with the evolution of Cyber Conflict from manual attacks/ defenses paved the way for mechanized attacks/ defenses to talented human/ mechanized attackers and the equivalvant on the defensive side. Finally, 2011 brings things to where we are now: do-it-yourself human threats/ mechanized attackers. By DIY, TK meant hackers these days don’t need to code. They can buy tools that automate much of the process. Citing stats from Hackmageddon.com, the US was the #1 security target overall by a pretty wide margin, followed by the UK. Because it is lucrative, Cyber crime was the motivation behind almost 75 percent of the attacks in February this year.

TK also turned attention to the Internet of Things (IoT), providing a glimpse of the security problems it causes.  For example, SHODAN, an Internet-connected device search engine created and run by John Matherly (@achillean on Twitter), easily shows the vulnerabilities of internet devices many of us use every day. One example: a crematorium that was unsecured (as in anyone could control it from the Internet). Eye-opening and scary to say the least.

TK also referenced Verizon’s 2014 Data Breach Report as another example of how the good guys are being out-innovated in terms of cybersecurity. What can we do about it? Change how the game is played: instead of focusing on patching hundreds of security holes, focus efforts on detecting hackers in the midst of a series of operations we know they need to perform.

He reminded those in attendance that security is everyone’s problem, and offered the following recommendations: be social about security (look out for each other 0nline); operate online with a healthy degree of paranoia; use 2-factor authentication whenever possible (check https://twofactorauth.org/ for more); on the enterprise side, pay for security features and demand more from vendors); remember that only (mostly) secure data is encrypted data.

Here are TK Keanini’s slides and more background on him:
;

TK Keanini

Bio: TK Keanini brings nearly 25 years of network and security experience to the CTO role. He is responsible for leading Lancope’s evolution toward integrating security solutions with private and public cloud-based computing platforms. TK is also responsible for developing the blueprint and solution that will help Lancope’s customers securely benefit from the promise of software-defined networking (SDN). Prior to joining Lancope, Keanini served as CTO for nCircle, driving product innovation that defined the vulnerability management and configuration compliance market. Before joining nCircle, he served as Vice President of Network Services for Morgan Stanley Online, where he built and secured a highly available online trading system. Previously, Keanini was a systems engineer at Cisco, advising top financial institutions on the design and architecture of their data networking infrastructure. Keanini is a Certified Information Systems Security Professional (CISSP).

Michael Crosno  (Executive – Click Security) continued the reasons to be concerned theme when he took the stage to discuss The Changing Landscape of Enterprise Security. Michael shared tons of scary stats and a couple anecdotes to illustrate just how difficult things have become. Michael painted the picture that hackers outgun the good guys in a number of different ways. How so? Globally, companies spend $70 billion per year on cybersecurity; hackers make over $300 billion over that same time frame. Regarding the cost: Drug-trafficking  costs us about $600 million a year; security breaches costs us over $1 trillion a year. Continuing down that path, Michael confirmed 400,000 registered hackers in China; they are unionized, can get health insurance; black market tools available everywhere. Hackers don’t need to code at all today.

Michael also discussed the Anthem hack, estimated to have affected tens of millions of customers, in a coordinated effort that happened over the course of an estimated 10 months. What are hackers doing with that information? Selling the entire details of a person’s health information from medical history to insurance ID. Say you have medical problems with your knees that will require surgery. Hackers will sell you insurance ID and appropriate details to someone overseas that will allow them to fly into the United States (in a different state than you reside) and to have those knee surgeries using your health insurance to pay the bill. Scary stuff.

So, what does all this mean to IT security? Michael sees a shift in focus from threat prevention  or detection (keeping hackers out) to threat investigation (finding hackers once they are in your network). He cited research from Microsoft that analyzed 20 years of security breaches that found nearly 500 actions were common requirements for large-scale security attacks. Research from Google and Symantec came up with slightly lower numbers, but all agree that there are a set of steps hackers have to go through. Per Michael, companies need to focus on recognizing hacker behaviors during these processes to build out predictive patterns so they can catch them in the act. That’s why he says the next big wave of security tools will focus on investigation rather than prevention.Ultimately, he sees security maturing in the same way Business Intelligence has. Years ago, companies had small teams of BI analysts. These days, lots of people in different BUs use BI software for insights. Regardless, companies will need a lot more people involved on the security front.

Michael Crosno

Bio: Michael Crosno is currently the President and CEO of Click Security. Prior to Click Security, he was the Founder and CEO of MyEdu Corporation in Austin, Texas, which he sold to Blackboard Corporation in 2014. Crosno joined MyEdu from Global 360, a leading BPM company, where he was President and CEO and sold it to private equity firms, TA Associates, Technology Crossover Ventures and JMI Equity. Before joining Global 360, Mr. Crosno served as CEO of the leading enterprise portal company, Epicentric, Inc. He sold the company to Vignette and served as EVP Worldwide Operations. Previously, he was EVP at Gemplus, SVP of Worldwide Operations at ViewStar and VP of Sales and Marketing at Computer Associates.

Michael Coté (Director, Technical Marketing – Pivotal)  closed things out on the cloud front discussing how companies can implement a fail fast model while still being focused on the right things in a presentation he called “Failing fast for the up-tight.”

In a talk that featured outfitting urinals with sensors to the Death Star, he made the point that failing fast worked for implementing cloud infrastructure tools and in other areas as well. Regarding failing fast, Coté acknowledged the tech concept of failing fast doesn’t seem to make sense for some companies at first blush, but it’s a positive thing because it gets at trying to solve specific problems. To him, failing fast means rapidly try out new things; getting new code in customers hands on a daily or weekly basis, Observing how customers use it, gathering feedback and iterating based on that feedback, In other words, failing fast really means learning fast.

So where do urnials come into the picture? Coté compared outfitting old urinals with sensors to how many companies have approached their private cloud implementations over the last several years. Modernizing old,  legacy urinals  with sensors that only work part of the time ends up frustrating the users. Not focusing on the bowl means not addressing the fundamental problem of using too much water; inefficiency. It’s a halfhearted attempt to implement technology. Similar to what Pivotal sees with many clients in regard to their private cloud implementations. In their reseacrhc, Pivot found that up to 95% weren’t happy with results of their private cloud efforts. I n many cases, they were doing half the work, or installing an infrastructure and expecting that to make a difference; 3 – 5  years later, many companies are  getting to what he called the “state of the blinking cursor.” Companies invested in changing infrastructure, rolled out new cloud technology, but nothing much is happening as a result. In Coté believes companies need to focus less on installing chunks of infrastructure and spend more time using the failing fast model to test what functionality needs to be rolled out to help end users.

Here’s Michael’s presentation and a bit more detail about him:

Michael Cote

Bio: Michael Coté works at Pivotal as part of the technical marketing group. He’s been an industry analyst at 451 Research and RedMonk, worked in corporate strategy and M&A at Dell in software and cloud, and was a programmer for a decade before all that. He blogs and podcasts at Cote.io and is @cote in Twitter.

 

 

 

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