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Real markets vs. Expectation markets

Putting the linkbait title aside, Steve Denning’s The Dumbest Idea In The World: Maximizing Shareholder Value1 is a really interesting article about the difference between “real markets” and “expectations markets”:

In today’s paradoxical world of maximizing shareholder value, which Jack Welch himself has called “the dumbest idea in the world”, CEOs and their top managers have massive incentives to focus most of their attentions on the expectations market, rather than the real job of running the company producing real products and services.

And that comes at the expense of customers. This sentence also stood out for me:

Unfortunately, as often happens with bad ideas that make some people a lot of money, the idea caught on and has even become the conventional wisdom.


  1. Link is to the print version because the Forbes site is so unreadable 

Big data and human intervention

In Netflix’s Secret Special Algorithm Is a Human Tim Wu writes about the importance of human intervention in data-driven decision making:

Of course, there is a big difference between using data in combination with intuition and relying entirely on an algorithm—the decision-making equivalent of Siri finding gas stations near you. I don’t think anyone—Netflix, Mitt Romney—makes big decisions that way. As Chris Kelly, the C.E.O. of Fandor, an indie-film Internet channel told me, “It just isn’t true that you can rely on data completely.” Even Google, the champion of algorithms, employs substantial human adjustments to make its search engines perform just right. (It cares so much about this that Google claims First Amendment protection for its tweaks.) I do not doubt that companies rely more on data every day, but the best human curators still maintain their supremacy.

It’s a good reminder that following data blindly is a pretty bad idea. Joshua Porter’s Metrics Driven Design is stil the best presentation I’ve seen on this topic and how it relates to design.

Algorithms aren’t gods

In The Cathedral of Computation Ian Bogost makes the argument that algorithms have replaced religion for many people:

Here’s an exercise: The next time you hear someone talking about algorithms, replace the term with “God” and ask yourself if the meaning changes. Our supposedly algorithmic culture is not a material phenomenon so much as a devotional one, a supplication made to the computers people have allowed to replace gods in their minds, even as they simultaneously claim that science has made us impervious to religion.

It’s a long article but very much worth reading, especially for the conclusion:

Algorithms aren’t gods. We need not believe that they rule the world in order to admit that they influence it, sometimes profoundly. Let’s bring algorithms down to earth again. Let’s keep the computer around without fetishizing it, without bowing down to it or shrugging away its inevitable power over us, without melting everything down into it as a new name for fate. I don’t want an algorithmic culture, especially if that phrase just euphemizes a corporate, computational theocracy.

But a culture with computers in it? That might be all right.

Software repair

Richard Seroter’s 10 Architecture Tips From “The Timeless Way of Building” is highly relevant to software development as well:

“Each building when it is first built, is an attempt to make a self-maintaining whole configuration … But our predictions are invariably wrong … It is therefore necessary to keep changing the buildings, according to the real events which actually happen there.” (p. 479-480) The last portion of the book drives home that fact that no building  (software application) is ever perfect.  We shouldn’t look down on “repair” but instead see it as a way to continually mature what we’ve built and apply what we’ve learned along they way.

Just as buildings need “repair”, software takes iteration to get right.

New Sonos logo pulses when you scroll

New Sonos logo

This is pretty fantastic. The new Sonos logo pulses like sound waves when you scroll up and down. Brand New comments:

There is no doubt this is a party.

Indeed.

Designed by Bruce Mau Design.

Excuse me while I kiss the sky

Melissa Dahl talked to some people to find out Why You Keep Mishearing That Taylor Swift Lyric:

“There’s a piece of what we understand that comes from the sound that comes in our ear,” but another piece of our understanding comes from our minds — from our expectations, in other words. It’s easy to see how this explanation applies to many misheard lyrics, specifically the most-often cited one from Jimi Hendrix’s “Purple Haze,” which contains the lyrics “Excuse me while I kiss the sky”; people often mishear that line as “Excuse me while I kiss this guy.” It makes sense: People are more accustomed to hearing someone talking about kissing some guy, less so the entire sky.

My favorite indie web services

I recently realized that the web services I love and use the most are all run by indie developers or small companies. While I ponder what that means, I thought I’d do my little part to tell you about them in case you’re in the market for one of these things.

These are all services I’ve used for a while and have no intention of leaving. Unless they shut down. PLEASE SUPPORT THEM SO THEY DON’T SHUT DOWN.

  • I use Feedbin as my back-end for RSS reading. It’s solid. It always updates fast, it never goes down, and it works with a pretty much any RSS reader you can think of. I tried Feedly, but it’s not for me. Too many gimmicks I don’t need.
  • Speaking of which, I use Reeder as my front end for RSS reading. Beautiful UI, great integration with services.
  • Anyone who’s paying attention knows that Feedburner is on its way out. So a while ago I moved my site’s RSS feed hosting to Feedblitz. It’s not worth linking to them — it was a terrible mistake. Shady “growth hacking” marketing techniques, impossible to work with on support issues, etc. Don’t do it. I have since switched to FeedPress and I’m really happy with it. I do think there’s still a gap in the market for a really good Feedburner replacement, but Feedpress does an admirable job for now.
  • Pinboard is still the backbone of everything I do online. It’s basically my external memory. I don’t know how I would internet without it.
  • Instapaper is not a one-person band any more, but it’s still my “read later” service of choice. I dabbled in Pocket for a while, but I keep coming back to Instapaper for the no-nonsense UI and focus on typography.
  • When it comes to writing, my favorite tools remain MarsEdit (blog writing and editing), nvALT (text editor), and Marked 2 (Markdown viewer).

I really hope these developers continue to make enough money to focus on these fantastic projects. I also hope they know how many people they’re helping every day with the things they dream up. Thank you, to all of you.

The importance of design diversity

Laura Sydell tells a great story in At 90, She’s Designing Tech For Aging Boomers (but when did NPR decide to go all Upworthy-like with their headlines?):

Addi says when Beskind is in a room, young designers do think differently. For example, Addi says IDEO is working with a Japanese company on glasses to replace bifocals. With a simple hand gesture, the glasses will turn from the farsighted prescription to the nearsighted one.

Initially, the designers wanted to put small changeable batteries in the new glasses. Beskind pointed out to them that old fingers are not that nimble.

“It really caused the design team to reflect,” Addi says. They realized they could design the glasses in a way that avoided the battery problem. “Maybe it’s just a USB connection. Are there ways that we can think about this differently?”

We need so much more diversity in the design community — not just in terms of gender and race, but age as well. Here’s a story that proves how valuable design diversity really is.

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