Wireless Support for Mobile Distributed Work: a Taxonomy and Examples



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Wireless Support for Distributed Work: a Taxonomy and Examples Stuart J. Barnes Victoria University of Wellington, New Zealand stuart.barnes@vuw.ac.nz Abstract Individually, the penetration of distributed networks and mobile telecommunications in the developed world has evoked considerable change in our daily lives how we work, live and learn. Combined, the potential impact of the wireless networks and related applications is immense. Although the literature on wireless applications has predominantly focused on business-to-consumer markets, following the patterns in the media and e-commerce research, it is now becoming clear that mobile networking will provide a tremendous impetus to the development of other strategic applications for businesses. This paper explores this emerging area of wireless applications in the business. It provides a background to conceptual ideas of mobile distributed work (MDW), and a framework for understanding the development of MDW in organizations. The paper also begins to apply these conceptual ideas in a number of case studies. The paper rounds off with a summary and some conclusions regarding the future of MDW.. 1. Introduction A key trend in the use of personal computers (PCs) in the last decade is networking. The Internet is perhaps the best known and most ubiquitous of these networking technologies, and has proven to be an easy and efficient way of delivering a wide variety of services to millions of wired users, of which there are now more than 580 million [24]. Another technology trend in the last decade has been the growth and increasing sophistication of mobile communications, particularly wireless telephony. In some parts of the developed world, including Hong Kong, New Zealand, Finland, Japan and the UK, penetration has reached well over 70 percent, and saturation is beginning to occur. In July 2002, the global number of mobile phone users exceeded one billion for the very first time [9]. Traditionally separate, technologies of the Internet and mobile telephony have now started to converge, bringing promises of a new era of networking and portability. The products of this partnership are sophisticated wireless data services, centring on mobile access to the Internet. The bulk of attention in the literature examining commercial applications of wireless Internet computing has so far been on business-to-consumer markets - until now the fastest growing and most hyped sector [12] [20] with research into platforms such as WAP [5], SMS [43] and imode [7], and many and varied services [4] [6] [8] [21]. Indeed, the mobile platform has tremendous potential for electronic commerce, tailored to the preferences and context of the individual [13] [19] [23] [29] [18]. Worldwide, mobile (m-) commerce revenues (including peer-topeer payments) are expected to exceed $25 billion by 2006 [11]. However, it is now becoming clear that the impact of mobile computing and m-commerce goes much further; wireless technologies have the potential to transform activities both within and between businesses [14] [41]. Industry sources predict that corporate demand is likely to drive the wireless market forward and many applications are being developed for wireless enterprise computing [42]. Indeed, by 2004, cost savings could permit wireless business services around the world to generate annual value of up to $80 billion, and at least as much value could be created if corporations used wireless services to improve their current offerings or to deliver new ones [2]. This paper picks up on the emerging area of wireless applications in the business, focusing specifically on mobile distributed work (MDW). distributed work is defined by the degree to which an organization s operations and information needs, typically employee activity, are supported in a geographically independent way. This paper aims to provide a basic background to some of the conceptual ideas of MDW, and a simple framework for understanding the development of MDW in organizations. Moreover, the paper also begins to apply these conceptual ideas in a number of case studies. The 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 1

cases are drawn from New Zealand, which provides many examples of MDW adoption. The next section examines some of the developments in MDW, detailing a conceptual framework for understanding the potential of mobile data communications in the business-to-employee space. This is followed in section three by some recent case studies, analyzed using the conceptual framework. The paper finishes with a discussion and some conclusions. 2. Understanding mobile distributed work This section provides a brief, illustrated introduction to MDW. This is followed by a framework for understanding the development of MDW in organizations. The framework is used later in the paper as a tool for analyzing a number of recent case studies. 2.1. An introduction to mobile distributed work Wireless data communications can provide significant business benefits for corporate infrastructure and a large number of corporate solutions have been developed to this end [3], based on a variety of technical platforms [40]. Messaging is one key area of application. For example, advances in wireless messaging allow mobile workers to direct specific incoming messages to specific devices; such control helps mobile workers direct urgent emails to handheld devices or cell phones, and less urgent matters to secondary devices such as desktop personal computers (PCs) [10]. Other mobile office tools are also available - linking to fax, databases, schedules and file transfer [1] [26]. In the workplace, wireless technology can help to support work configurations and automate work processes. One striking example is that of the USS McFaul a state-of-the-art American Navy destroyer [28]. On McFaul, personal digital assistants (PDAs) specifically Palm Vs are the basis of a wireless data network that also includes an infrared LAN and Aether Systems server software. The Aether software monitors the network and knows where and when the Palm Vs are being used, and it bridges the ship s Microsoft Exchange-based intranet to the hand held devices by converting the data into a Palm-readable format. Officers and several hundred sailors use these devices on McFaul, proving a strong medium for workforce automation and monitoring. The wireless LAN enables McFaul to exchange Microsoft Word documents, send e-mail, review technical documentation on the ship s equipment, coordinate daily and weekly schedules, and consolidate and coordinate checklists and databases. Overall, the system increases the combat readiness of the ship via the efficient management of human resources [28]. Supporting the transient businessperson is another frequently cited example of mobile networking. For example, the businessperson, such as a sales representative, may be in a car or taxi, or at the airport or rail station [27]. Imagine the businessperson receives a call and is needed urgently in another city. Accessing a travel portal on a mobile device such as a PDA, the employee enters the preferred times of departure and return, requests a hotel near the visited office, and orders a conference room, catering facilities, and a presentation link back to the main office. Automatically, in the background, the system makes the required reservations using known preferences for the airline, in-flight meal, seating, rental-car and so on [15]. In the situation where the businessperson is in a car, an in-vehicle network, e.g. via the short-range wireless Bluetooth technology, could allow connectivity of personal devices; using a mobile phone as the wide-area network connection, the employee could connect to the Internet or corporate intranet to receive information such as e-mail [22]. Voice recognition could automate this even further. On a much broader level, wireless networks and devices can help to strongly integrate remote, disparate or roaming employees into the corporate infrastructure. These include functionally disparate or mobile employees, such as salespersons, and remote workers, such as integrating geographically dispersed units in a travel agency in Australia [1]. Thinking more generally about the mobile workforce, employees are enabled to work in their virtual office at any time, in any place, and anywhere. devices and data connections can provide important links to company networks and systems that are key to the effective 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 2

Wireless Network Corporate Resources (e.g. ERP, CRM, SCM, Groupware, Web)) mbusiness Server Firewall Web Figure 1. Accessing the corporate resources performance of work [16] [17]. This is demonstrated in Figure 1. In the example, the Blackberry is an additional channel for data communication, but it provides access to a variety of corporate systems such as customer relationship management (CRM), sales force automation (SFA), groupware, the Web, and even some supply chain management (SCM) and enterprise resource planning (ERP) functions. Ovum predicts that the number of mobile-office users will grow to 137 million by 2004, up from 15 million in 2000 [2]. 2.2. A framework for understanding mobile distributed work Figure 2 shows a conceptual framework for understanding the potential development of mobile distributed work in organisations, which we will refer to as the Work Model (MWM). The diagram shows three axes, each with three possible positions. The axes are mobility, process and market. Briefly, the axes can be described as follows:. This describes the level of geographic independence of enterprise workers, enabled by the wireless data solution. The first level is transient, describing the basic support of employees as they move from one location to another. These employees are geographically tied to the locations between which they move. The second level is mobile. Here, employees have a much higher degree of geographic independence from the enterprise, and have geographic independence for prolonged periods of time, but they inevitably return to corporate locations to perform certain functions. Finally, the highest level of mobility is remote. At this level, employees are almost completely removed from the corporate location, being empowered with a very high degree of geographic independence.. This describes the change in work configuration and processes. The first level, automation, refers to efficiency gains in existing processes transferred to the mobile data environment. brings in a degree of effectiveness and knowledge work gains via the mobile solution. Finally, transformation describes a fundamental degree of change in organizational processes using the mobile medium. At this level, the nature of work and job roles may be transformed by the mobile medium. Value proposition. This describes the value proposition in the marketplace; typically, it refers to the changes in products, services and relationships with customers, but it may also contain market experiences with suppliers and business partners. Again there are three levels. At the lowest level, mobile channel access, the mobile medium is being used largely as a conduit for information for mobile employees, without significantly different services. At the intermediate level, mobile service value, the wireless solution is being used to add significant value to the market offering. Thus, there are specific areas where the product or service level is being significantly enhanced using mobile distributed work. Finally, at the highest level, mobile service creation, the wireless medium is being used to create entirely new service offerings or products. 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 3

channel access Figure 2. Dimensions and stages of MDW the Work Model (MDW) Accordingly, we can envisage three major phases in the use of mobile distributed work in organizations: Phase I: employee linkage. This phase of mobile distributed work emphasizes entry-level enterprise offerings. It focuses on establishing the appropriate wireless infrastructure to link-in transient employees to allow access to corporate data and aid in efficiency for existing work. Phase II: employee empowerment. In this phase, the work patterns of employees are driven by the availability of corporate knowledge on the mobile medium. In this way, mobile employees are able to significantly improve the effectiveness of work configurations and therefore of the products or service provided. Phase III: enterprise creation. Only in this the highest phase of mobile distributed work can the organization boast truly mobile employees and services. At this level, employees can exist separately of the geographic constraints of an organization, supported by wireless solutions. The nature of work has been significantly transformed to take advantage of the new environment, and the roles of individuals are likely to be very different. In addition, the mobile enterprise is able to offer new and different products and services than before supported by the mobile paradigm. Figure 2 is explored further in section three, where it is used as a framework for analyzing the development of mobile distributed work in a number of recent case studies. 3. Case studies of wireless applications in New Zealand business In this section, we examine in more detail five of the wireless applications from the survey above. These cases were selected for several reasons. Firstly, they are all examples of mobile distributed work in the business-to-employee space. This is a key focus of this research and of the Work Model. Secondly, they are case studies that are being used by one of the major telecommunications companies, New Zealand Telecom, as exemplars of business-to-employee mobility. Finally, initial contact had already been made with several of the case organisations and systems developers regarding data collection. The results of these case studies are based on a mixture of primary and secondary research. In particular, they are based on semi-structured interview, short video interviews from New Zealand Telecom, internal reports, public relations documents, and personal and panel discussions at the Wellington Wireless Expo organised by New Zealand Telecom in September 2002. A summary of the case studies is given in Table 1. This provides a brief description of the case organisations, along with some summary data, the focus of the B2E application, and where benefits are being obtained. 3.1. DELTA Utility Services DELTA s business revolves around the management of physically distributed assets in the electricity industry. The mobile work system developed by DELTA allows remote access to its geographical information system (GIS). Developed in 2000, the GIS is a comprehensive and information-rich mapping system which enables DELTA to record and track the presence and technical specifications of all the assets it manages across New Zealand. The system is based around a laptop equipped with GIS software, complete with a mobile data card. Field personnel, typically (electricity) network designers, are able to access the DELTA server via a secure virtual private network (VPN). The mobile work system allows fast transmission of rich map data to field personnel. Data can be queried, mapped and updated in the field, which is then audited in the main office and posted to the database. A trace function allows staff to check a circuit for network connectivity. 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 4

Table 1. Summary of case studies of mobile distributed work Company Annual Staff Description of Main revenues Application Focus Delta Utility Services. Manages 350 field force Efficiency Asset management and assets of support. Real time GIS accuracy contracting company for Dunedin NZ$230m+ data on laptops. Electricity Limited, New Zealand s fifth largest electricity distribution company. Benefits Specific Benefits and Rich GIS data checked on site Work integration of remote staff Accurate, real-time data access Reduced data entry Enhanced paperless security Improved customer service Turners Auctions. Vehicle inspectors and New Zealand s largest car auctioneers, with 90 percent market share. Onesource. Office products and servicing of office equipment. NZ$400m 200 Field force automation. Efficiency and service vehicle inspection gains data collection using an ipaq and digital camera. NZ$100m+ 500+ Field force automation. job allocation and management using ipaq. Barcode scanning of parts. Productivity service gains and Accurate, real-time data collection Increased productivity of staff Reduced data entry Improved customer service Reduced overheads Competitive advantage Increased field force productivity Improved customer service Reduced costs Increased data accuracy Better management control Green Acres. NZ$30m 600 subfranchises Field force automation. Superior Home services provider, job allocation and service including cleaning, gardening, management using ipaq. plumbing and electrical, and pet Customer relationship care. management. Masterpet Foods Limited. NZ$40m+ 150 Sales force automation. Efficiency New Zealand s leading supplier Inventory, pricing, accuracy of pet accessories and pet food customer history, and to pet stores, veterinarians, and supermarkets, with 75 percent of order placement using an ipaq. market share. Source: [30] [31] [32] [33] [34] customer and Increased field force productivity Improved customer service Shorter response times Reduced costs, phone charges Relationship building/sales leads Instant customer information/reports Reduced order processing time Reduced data entry Efficiency in inventory management Improved sales productivity Work integration of remote staff The value proposition of the mobile work system is largely based around the improved accuracy and timeliness of information. The paper-based maps in the previous system were somewhat limited, and only useful as a guide, containing little detail on the specific assets. In operational terms, the wireless system also provides reductions in travel times for remote staff. The efficiency and accuracy of the new system has knock-on effects for customer service; accurate, up-todate information is directly related to optimal maintenance and asset replacement recommendations for customers [30] [35]. In terms of the Work Model, DELTA has moved into the mobile employee empowerment phase. The mobile data solution for electricity network designers has enabled them to access critical information and perform activities that go beyond efficiency to effectiveness and decision-making. The designers can work in the field for prolonged periods of time without returning to the main office. In terms of the market offering, the mobile solution has enabled enhanced recommendations for optimal maintenance and asset replacement. Figure 3. MWM analysis of DELTA 3.2. Turners Auctions channel access Turners car auctions have applied mobile distributed work in the area of vehicle inspections. Turners typically inspect vehicles for clients in the lease sector, to enable them to make decisions 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 5

regarding repair or sale of vehicles. The inspectors began using the wireless technology in May 2002. The field equipment consists of a handheld device with a wireless data card and software from Net Result. This is used to access the Turners Vehicle Inspection intranet on the corporate LAN via a secure IP network. Photographs of a vehicle being inspected are taken with a digital camera, complete with a flash card. This data can then be transferred via the flash card to the ipaq. The wireless system eliminates the inefficiencies associated with double data handling. The previous system relied on typing-up paper-based reports, using forms specific to each client. Digital pictures were previously uploaded to PC via USB cables. Information captured in real-time are compiled into online reports delivered via a customer extranet, usually to a lease manager. Typically, this enables the client to select the auction or damaged vehicles sections of Turners, for further business. The new process also reduces freight costs for customers since vehicles are not required at a central inspection point. Customer service has also improved, and the work for one major lease client has increased by 150 percent as a result [31] [36]. channel access Figure 4. MWM analysis of Turners The mobile distributed work of Turners Auctions is very much focused on efficiency gains and automation, rather than effectiveness and knowledge gains. As such the work configuration aspect is less developed. However, the field inspectors can exist independently of the office for prolonged periods of time, especially since they are not required to return to complete inspection reports. The availability of real-time information, which can be immediately used to get quotes for repair, for example, is a major improvement to the service offering. 3.3. Onesource Onesource have used MDW to connect to its mobile service technicians, and the system is currently being piloted in Auckland. In all, the organization s 180 technicians service over 26,000 pieces of office equipment in New Zealand. The system is based on the use of a handheld computer (an ipaq with a rugged case and second battery sleeve) with a wireless data card and barcode scanner. The serial number of a piece of equipment, such as a photocopier, is a key piece of data in the job management system. When a customer calls in, the job is automatically linked to the area technician, who is intimately familiar with each machine s service history and the customer s requirements. Once the job is accepted, they are sent the details of the job. If the preferred technician does not respond, a separate message is sent to their cell phone after 15 minutes, before the job is passed on to the next best person [32] [37]. The system has led to noticeable process improvements for staff. Onesource indicate that the system has led to a 30 percent increase in productivity and a 20 percent improvement in response times. The previous telephone-based dispatch process involved on average three messages sent via pager or cell phone to the nearest technician. Inaccuracy was common, as the technician recorded the 15-character part numbers on paper and then relayed this over the phone to the dispatcher, who then entered it into a computer. The PDA software includes data entry parameter checks to reduce errors. Alongside the implementation of a mobile work system, work practices have become more competitive. Management are now able to extrapolate performance information from the technician s PDA, including travel times (which are significantly reduced), the reliability of specific machines, and response times to customers service requests. The system empowers staff to plan and prioritize their workload and engenders competitiveness among service staff, aiming to provide improvements in service. It is estimated that investment in the system will pay back in 14 months. Onesource are currently in the process of the next phase of implementation, deploying the system to 90 handhelds. Typically, five technicians are being trained in a day, every few days [32] [37]. Figure 5 shows the degree of MDW. As the above has demonstrated, the workforce is empowered both to work geographically independent from the office for long periods and to use information to change their 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 6

performance. However, aside from the efficiency and response improvements, the market impact is minimal. to print invoices on the job and a swipe-card instant payment option. channel access channel access Figure 5. MWM analysis of Onesource Figure 6. MWM analysis of Green Acres 3.4. Green Acres distributed work has been applied in the Trade Services Group of Green Acres. This group, launched in 2002, provides electrical and plumbing services. Electricians in the Auckland area are currently piloting the mobile job management system (JMS). Field service staff access the JMS using a handheld computer (an ipaq with a rugged case and second battery sleeve) with a wireless data card. The system guides staff through a prompted, step-by step system that provides full customer details, important notes (e.g., access points to a site), and a brief description of the work. The job is accepted and completed by a stylus click. The system also provides a stock inventory and management system to provide accurate costing of parts [33] [38]. The overall emphasis of the system is improved productivity and customer service. The time for an average job despatch has been cut from 10 minutes, and 2-3 phone calls, to a matter of seconds. The system has subsequently reduced mobile phone call charges, largely at peak rates, and simplified the process of communicating with service personnel on the job, who are often too busy to answer a telephone call. The system prompts the tradesperson to phone the next customer if their estimated time of arrival is later than expected, and provides a tip of the day to encourage cross- and up-sell opportunities. Green Acres are currently in the process of rolling out the system nationwide in the Trade Services group. They are also in the process of implementing a facility Figure 6 provides an examination of the MDW of Green Acres. Due to the nature of franchised operations, the system assists tradespersons in operating almost entirely remotely. The nature of information goes beyond simple efficiency to actually improve the effectiveness of operations and add to service value in areas such as customer knowledge and sales opportunities. 3.5. Masterpet Masterpet was already relatively advanced in the area of sales force automation before the introduction of the new mobile sales force solution. The sales force were already using large touch screen TX tablets and dialup modems to send and receive product and ordering data. However, these tablets were bulky, expensive (NZ$10,000 each), and were prone to damage of moving parts (especially hard-drives) as sales representatives carried them from customer to customer. The new system is based on an ipaq linked by Bluetooth to a mobile phone data connection, fitted with a wireless data card and field sales software. The avya software allows sales representatives to perform a variety of common tasks using a handheld computer. This includes placing an order, calculating quotes, generating price lists, updating of the latest special offers, current stock availability, and providing customer information (including, for example, credit limits). Invoices are created automatically, and salespersons can also generate sales reports and demand information without the need for further data 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 7

entry at the office. Access to email and personal information management (PIM) functions, such as todo lists, are also provided. Orders are instantly fulfilled. Orders entered into a handheld by a sales person at a store can be picked and packed and ready to deliver in 10 minutes. The process works as follows [34] [39]: Orders are taken via an ipaq and avya application. The order is sent over the mobile IP network. Orders are uploaded to the Navision enterprise resource planning (ERP) system. Orders are released to the voice activated picking system (VOCollect). Orders are picked and packed. Confirmation is sent to the ERP system. The ERP system posts and generates the invoices, which are sent electronically via the Internet. Packing slips and invoices are printed. Goods are shipped to the customer. channel access Figure 7. MWM analysis of Masterpet More than half of the sales force is currently using the mobile system, and this is currently being rolled out to all 30 sales representatives in November 2002. Accuracy has increased very considerably using the system, with the error rate falling from around 12 percent to just 2 percent. This equates to a NZ$60 per order cost saving for errors. Typically, this means that sales support staff focus more on adding value to the service rather than correcting inaccurate orders. Improvements in productivity are also apparent, and salespersons typically make at least two extra sales visits per week, or have extra time to build customer relationships. Figure 7 depicts the degree of mobile distributed work at Masterpet on the Work Model. The mobile solution affords a high degree of mobility for sales representatives, and numerous functions, such as invoicing and reports, can be completed from the handheld device. Although there are significant efficiency benefits, the impact of the solution goes well beyond this to impact the effectiveness of sales personnel and shifting the nature of work more towards customer relationship-building. As a result, the customer experiences an enhanced level of service value supported by the mobile information system. 4. Discussion and conclusions Wireless technology has provided the platform for a vast array of mobile applications in the enterprise space. This paper has examined the impact of wireless solutions on business-to-employee enterprise relationships. After a brief background on mobile distributed work and a snapshot of some of the companies using mobile work solutions in New Zealand, the focus has been turned towards a number of very recent case studies of mobile distributed work. The five cases studied DELTA, Turners, Onesource, Green Acres and Masterpet have all successfully implemented mobile solutions in the business-toenterprise space in early 2002. The benefits of the solutions are significant, sometimes strikingly so. Nevertheless, the impact of the solutions, although sharing some common characteristics, varies very considerably. To analyze the development of mobile distributed work and to benchmark the status of the concept in each organization, the research has employed the Work Model (MWM). This provides a simple assessment of any organization in three aspects of mobile distributed work: mobility, process transformation and market value. The application of MWM to the case studies provides some clear demonstrations of the differences in business-toemployee mobile work solutions. Overall, the emphasis of the cases is on Phase II mobile work developments - mobile employee empowerment. Each of the cases goes beyond basic mobile employee linkage, but none of them move towards the advanced levels of mobile enterprise creation. This area of research is clearly very embryonic. The cases studied are state-of-the-art applications of wireless technologies for mobile distributed work. As such, the framework provided gives some early directions for examining the conceptual idea of mobile 0-7695-2056-1/04 $17.00 (C) 2004 IEEE 8

distributed work, but not a fully formed theoretical offering. On a practical level, the MWM could be used to map the current status of any organization in terms of its mobile distributed work. Therefore, it has some possible managerial implications. It can also be used loosely to provide a blueprint for a selected mode of mobile distributed work, with some indications and examples of the possible strategic implications for varying patterns of operation. It is hoped that the research will spark additional interest in the strategic possibilities and implications of mobile distributed work among the IS community. Future research will help to provide a more detailed and grounded theoretical framework for analyzing mobile distributed work. In this vein, the author is involved in intensive case studies of several of the organizations examined above. Such research will help to provide a deeper understanding specific benefits and how wireless technologies change the nature of work and organization in those companies that adopt it. Any future research must continue to build on further developments in this fast-moving field of application and research. Time will tell which wireless technologies or applications become ubiquitous and dominant. However, it is clear that mobile distributed work has an important part to play in the IT strategies of many organizations in the future; the applications presented in this paper are being successfully used in organizations today. With further technological advances, we are likely to encounter some even more creative and interesting applications in the enterprise. 5. References [1] Arthur D. Little, Serving the Customer, http://www.arthurdlittle.com/ebusiness/ebusiness.html, accessed 15 January, 2000. [2] E. Autio, M. Hacke, and V. Jutila, Profit in Wireless B2B, McKinsey Quarterly, No. 1, 2001, pp. 20-22. [3] S.J. Barnes, Unwired business, E-Business Strategy Management, Vol. 4, No. 1, 2002a, pp. 27-37. [4] S.J. Barnes, The Commerce Value Chain: Analysis and Future Developments, International Journal of Information Management, Vol. 22, No. 2, 2002b, pp. 91-108. [5] S.J. Barnes, Provision of Services via the Wireless Application Protocol: A Strategic Perspective, Electronic Markets, Vol. 12, No. 1, 2002c, pp. 1-8. [6] S. Barnes and B. Corbitt, Banking: Concept and Potential, International Journal of Communications, 2003, in press. [7] S. Barnes and S. Huff, Rising Sun: imode and the Wireless Internet, Communications of the ACM, November 2003, in press. [8] J Bughin, F. Lind, P. Stenius, and M. Wilshire, Portals: Mobilize for Scale, McKinsey Quarterly, No. 2, 2001, pp. 118-127. 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