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Atomic Localization. A Self-Organizational Virtual Vendor Model. Serge Gladkoff President Logrus International. What triggered this recent advertisement ?. Everybody is after their prey. (Actual industry ad.). Sustained Small is Seed. Certain capacity Certain scalability
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Atomic Localization A Self-Organizational Virtual Vendor Model Serge Gladkoff President Logrus International
What triggered this recent advertisement ? Everybody is after their prey (Actual industry ad.)
Sustained Small is Seed • Certain capacity • Certain scalability • Good skill set and talent • Stable and reliable operations • More than 5 years in business or created by industry veterans • Certain technology platform • Basic sales process • Answers most issues of Very Small • Ready and hungry for growth • Limited by financing and development • Size is about $1M annual • Overheated “Atom” has will and energy to create links and bonds
New economy is Atomic • Large corporations are created due to the notion that “the sum is greater than its parts”. • In New Economy the parts are about to become greater standing by themselves… ATOMICReforming the Business Landscape into the New Structures of TomorrowRoger Camrass and Martin Farncombe
Atoms self-organize • Atoms already know each other. • Atoms start talking to themselves to align their interests so as to answer clients needs. • New distributed production platform starts to form to provide services and solutions that are beyond the scope of single Atom.
Atomic Corporation is born • …and the new sum is going to be much greater than its previous corporate configuration. Virtual Atomic Localization platform is the vehicle for Atoms to function as Virtual Corporation.
The New “Corporation” … is going to look like this: • Consists of smart “atoms”, achieving better quality and greater productivity • Is going to be slimmer and more efficient, aimed for client value, not for shareholders value • Relationships are becoming a key
LLA is “Atomic MLV” Microsoft HP EMC
Production • Production is catered solely by Atom • Atom is responsible for quality and deadlines • Atom is responsible for contingencies within Alliance, or else agrees to yield his interests to alternatives chosen by the client • Atom advertises its resources to Alliance for planning purposes
Non-competing mechanism • Atoms claim and negotiate the borders of their “vital interests” • The borders are drawn and atoms respect them for each other • Atoms with wider interests or caution are “associate” members • The world is too large for conflict to arise; if the growth will push borders, they will have to be renegotiated.
Pricing made simple • Unified cross-alliance purchasing rates • No restriction whatsoever on Atom external rates • Atom can sell his own services cheaper or dearer. In theory client can renegotiate the entire price list with Alliance members; but it’ll take lots of time and effort, because entire price list is well balanced.
Standard interfaces are key! • Legal: Pre-arranged contractual relationships • Resource management interface • Communication and file transfer interfaces • Costing and payment interfaces
Common processes • Unified translation process (in place) • Unified QA process (in place) • Unified QA service (in place) • Synchronized sales and marketing process (in place) • Common workflow platform (future) • CRM (future) • Centralized service systems and centers (future)
Addressing liability issue • Logrus is US Type C Corporation with 15 years in business. • D&B DUNS Number: 964894976. • Logrus addresses liability issue by obtaining insurance. • A liability clause is in LLA documents.
…LLA is evolving: There are no limits to self-organization!
Why LLA works • Every intermediate deliverable is contractually on time • No need to control, manage or finance atoms • Aim is for efficiency, not for “shareholders value” • Lower management overhead – client is buying more better management at lower cost • Self-organization mechanism blocks useless programs. • SLV quality is better than MLV – clear, direct path to service provider • LLA is slimmer and cost-effective for the client
Alliance appeal • Pricing benefits for projects of scale • Anyone can start using the Alliance – any LLA hub, any client – Alliance is not a company, it’s unified economical quality production platform created to provide distributed production.It’s happy to get work on board.
LLA is already of scaleAtomic structure by definition is NOT one company.But the entire system is of scale.
Customer size and type • From $10K annual… • …to $20M annual business (the size of LLA) • Mid-Market is completely covered. • Large corporate client is mostly covered. • Atomic model answers well both to centralized and distributed purchasing policies.
Who benefits the most • Logrus IS THE LLA Authority • However, Alliance does not restrict Atoms • All Atoms can be the client hub • Whoever uses Alliance most, pulls the cloud of influence to himself