March 11, 2008

CHARLES SCHWAB



ASPEN UNIVERSITY



Charles Schwab

Author: Lyle K'ang (c) 2008, March

A paper written on February 17th 2004, include the following (3) three courses and essay's.


In 2008 - what has changed besides the year - the procedures still work and the subjects more relevant than yesteryear.


Emerging Technologies; Business Ethics; eBusiness


ESSAY #1; EMERGING TECHNOLOGIES
Emerging technologies that have helped Schwab run its emerging.platform of storefronts and Internet presence and other potential technologies are numerous.

In order, to improve upon decision making, in the Executive ranks for corporate vision, mission, and efficiency capabilities, including outward and internal cooperation and big picture views (corporation and global), Schwab has to implement an updated customer relationship. Amongst the in-house brokers, customer service representatives, including investment, and plan (401K) managers, infrastructure technology budgets require that their perspective budgets increase to enable infrastructure to meet its customer base expectations because of competition activity from outside through other competing Internet and storefront brokerage firms.

Infrastructure costs, and its financial design, and the technology architectural revamping, including main-frame assessments,and the methodology of processing transactions need infrastructure refinement and in some cases, total change to be competitive. In order to be competitive, further streamlining of infrastructures from a total over-view requires teaming with cross-functional groups and executive buy-in. Project management, processes internal to Schwab, surely would require innovative assessment in emerging technologies, but more importantly- the ability to foster the team evolvement throughout the fact-finding process and revamping of internal processes as a portal for emerging technologies.

Once an assessment has been made with that preliminary function; the process includes
accounting and managerial finance, quantitative analysis and eBusiness structures, the
group meetings are next on the agenda for refinement and collaboration towards e-
Processes which is the e-Schwab's end-deliverable product.

Though the existing customer has at his or her disposable the separate media; phone, and web, there remains the emerging global-vision that the firm must concentrate on. The device infrastructure that will surely be an issue are already finding ways into day time trading with the young, upward-mobile generation, and these technologies have to be integrated as well as assimilated by in-house customers and employees.

Without the KM (knowledge management) of in-house processes, how is e-Schwab to know what emerging technology they are failing to capitalize on? Further more; customer metrics requiring the firm to restructure its technology infrastructure sis paramount for ease of maintenance and customer transactions. The highest value presently ingrained in the firm is the increasing cost of transactional value for the customer.It is still not refined and easy for the customer to access their account via the Web and their abilities to perform change management on their own accounts.

The diverse nature of transactions is becoming more prevalent in customer transaction
activities with the Palms, Mobile phones (M-Commerce), and other upcoming technologies. These Internet, intranet, and Extranet capable technologies are possible
because of application innovation, especially the XML applications which allow the
devices, many hand held, to download forms and view the Web browser on screen
resolutions and sizing no bigger than a match box.

Email is especially popular and must meet the need for customer retention. The present email application that the firm is using should be further interfaced as priority class so that in-house customer representatives acknowledge these emailed customer requests in a timelier manner.

There does appear to be fragmentation in e-customer support because of the applications being presently used. Applications servers, web process farms, email servers have as technological parents, the main frames and the highly non-cost effective, middleware for translation. In other words, all customer transactions in one form or another comes through the mainframe for further processing requiring vast amounts of internal or outsourced technical support. This is a costly endeavor to maintain and will not help to promote the firm as a complete e-Commerce viable company.

Furthermore, the executive cadre' technical formulations owe a lot of innovative insight capabilities to its co-CEO. His vision and technology corporate structure, as I understand it, has emerged and allowed the firm to be somewhat proactive when dealing with the Internet and its capabilities and how its external customers view this technology. Because of his past performances, his ability to ask for increased budgetary expenses will have a better chance of being allocated. The strengths will come now as this request to formulate e-Commerce teams, including project management,and IT Emerging technology teams to finally come together and express their methods of running their respective business entities for compliance to a corporate wide sponsored technology plan. The cross functional leaders and team members can now build their vision from the outside in.

Meaning the customer's methodology and way of handling transactions, inward through
the processes to the end result that these transactions now flow. It is not the end; though emerging applications, hardware and the infrastructure is in place. The requirement for a team to continue in formulation for existing on upcoming
infrastructure is as important as the new budget and its applications. With change it is certain that change it self will change.

The core transaction infrastructure and ERP (enterprise) application is that core that will make or break the firm. The CRM(customer relationship management) application has a task to perform and it's vital that these modules (AI) be designed to exacting performance metrics. These performance metrics must be met before values and certain applications go out to bid in RFP and RFQ fashion.

The most important application beside application technology and mechanical and device
infrastructure is in executive buy-in and his or her champion stamp over the entire project from beginning to sustainment- Yes! there is never an end. Moore's Law and Metcalf's explosion concerning technologies and its abilities to replicate exponentially in as little as 12to 24 months (Moore's), requires firms that do business as c1ick-n-brick,(Schwab's store-fronts) as e-Schwab, presently requires vigilance and a forever eye for future changes, innovations, and processes internal to meet the ever-changing habits of a Web enabled customer.



ESSAY #2 BUSINESS ETHICS
Schwab's hiring practices need examination in that for it to fully realize a global ethic and corporate ethos that is comparable to the best-of-breed company's, it needs to examine its HR policies concerning global business practices.

For instance, globally interfaced to its growing customer base through the Web is not a fashion but a necessity. Also, is the fact, that if the firm, through its various metrics proves that store-fronts (click-n-brick) are need to viably represent its interests in the overseas market then it cannot just hire its financial services, outsourcers, and internal employees from the San Francisco Bay area.

To foster a global company with all its internal corporate political policies and functional processes we must start from the senior management ranks and into the boardroom. These persons are there to represent the firm in their perspective roles but their other and just as important role is the abilities and understanding they themselves bring to a corporation that prefers to compete in a business structure and global environment.

The logos and core of business now has to consider the firms soul. Not as a buzz-word
that gets tossed around in everyday collaboration and interfacing, but real introspection on the part of the individual. In discovering the meaning of 'what it means' to be soul oriented, and 'who is' supposed to have this time to expose a heart and mind to examination for corporate policy, and 'when' do we practice these new found meanings that reside deep in our ethos or heart, is not up to only the firm and its policies, but the teams, groups, executives, and to an extent, the SCM (selling chain).

Wonderment via introspection and discovery on the way to becoming more global has its
rewards. From a company value, it hires the best in countries where Schwab expects to
increase its corporate branding, and financial expectations.Publishing that fact, that
ethics is demanded in the company and its subsidiaries,vendors, and suppliers, is just the preliminary activity of coming-into-the-light of practicing global ethics. Large companies in fact, have ethics companies in place, which Schwab will do to help train and monitor employee interactions with customers and downside SCM processes.

The encouragement and vitality of a continued plan is not an after-thought for Schwab
but must be a daily activity so that the companies (divisions) as a whole can bear up to public scrutiny when asked to do so. Being in a regulated environment; (ex. SEC, Wall Street) the plan to emerge from a past history into an ethical corporation is very difficult but in-deed a task that needs to be finalized and quickly put into play.

The ethical imperative to promote harmony and world-peace may not be in the firm's
upfront desires but the method and thought that it can sponsor programs that promote
these types of global activities would be in their best interests. Management and the
cadre' of the line of management must be the educators.The educators will prove its
worth by examples in doing and revamping processes that do not comply with global ethic programs. After mandatory training programs, if management refuses to comply
then they need to be terminated immediately.We are building a very fragile process and
in this case, Schwab is dealing with a new process that can deliver its corporate strategy into the 21st century of business ethics.

The problem when following programs that are supposed to be ethics minded is that the
methodologies and formulations have outdated processes and material. In fact, it is up to these global entities, forums, and structures to continue in practice but more so, a calling to its constituents for change. What comes to mind are the intentions and programs wroth with higher-values and are now in need of refinement to progress further.

The WTO and NAFTA are these organizations that were formulated with the good intentions but now need their organizational roles and membership to come forth for
change. Change to match the present values and practices of MNCs as they continue to
practice the old policies of NAFTA and WTO.

The present global corporation or off-shore corporation that migrate from Mexico, the
United States, and other world points to China, India, Pakistan, Viet Nam, and elsewhere all need to visit the WTO and NAFTA policies again. Membership in these groups should be mandated by a higher authority more in line with the IMF. Perhaps labeled as the IMP. The international management partnership organization will have as a mandatory membership, every government,and corporation that does trade on a global and in a routine manner. Formulation of policy that enables capital to flow from the IMF without the present heavy percentage penalties that go on unchecked that are then passed as loans to participating banks in country.The loans that are now supposed to help the farmers of industry are taxed with burdens so huge that there is only bankruptcy and no other corrective alternative.

I am not abolishing the WTO or NAFTA, because other corporations and Schwab
especially need to introduce their wares and obtain life-long memberships to promote
global fair practice in hiring, employee health, and individual sustainability. The practices of the World Trade Organization, and NAFTA now need change, a revampment on
policies that affect the global workers and corporations that take flight because of capital and their race and extreme competition to the bottom for cheap labor.

The Global Organization that has the authority to monitor, fine and terminate
corporations from its membership is a serious description and need of policy for today's corporations if they are to continue in an ethical way by promoting world balance in trade and managerial economics. The ability is not left to a corporation to perform, the ability is left to that IMP or other authority to promote and realize within five years-that drastic change is a necessity and a must if product is to continue to flow across an ethics oriented border for economics and ethics that require continued future trading.



ESSAY #3 eBUSINESS
The functional abilities of an e-Business and e-Commerce firm are its technology. Infrastructure and its ease to acquire and enable this technology for the benefit of its customers and internal corporate processes are inherited not only on visionary senior management but the ability to convince and team across political lines.

The modules that bring awareness to a firm that it is in deed e-Commerce are its
Network, applications, middleware included, and transactional cost metrics. The know how to incorporate a rapid and far-reaching vision for company survival is made possible by the CTOs, CFOs, CIOs, and CEO, as they formulate strategic value.

The formulation and e-Blueprint Planning exercises are mandatory and without these
plans risk increases to that point of no return where it would be foolish to implement a road map for success. More value, less assets, more efficiencies, and cost effective
practices are some of the core values that will need restructuring in Schwab's business case. Its present value chain and its disaggregation and re-aggregation are entrepreneurial endeavors that deliver efficiency through value chain re-aggregation.

The mobile network for customer efficiencies need the PAN, WAN, WLAN, and MAN
infrastructures in place, and likewise, telephony and VoIP, IP, data, voice, and media
need access from the outside. The total infrastructure convergence by decentralizing
management and centralizing design leads to best-in-practice for e-Schwab. Make use of
its extranets for suppliers and vendors and some preferred customer transactions.

Intranets for corporate training, benefits updates, and individual updates on financial and medical benefit packages are just some of the many uses for an e-corporation to compete. We can mention at a lower level, the components and modules that make up these networked infrastructure interfaces by name. There are the applications that allow computing to evolve into sustainment, deliverance, and lowering transactional activities.

The EDP software such as SAP R3, Baan, PeopleSoft, and Oracle are largely at the top
and fierce contenders especially in the Pacific Northwest of Washington state where I am a resident. The increased interaction and business dynamic towards excellence is
operations, innovation, and continuous-innovative missions are now possible because of these applications. When changing the cultural thrust to e-economics and commerce the ability for business functions to cannibalize their supply chain is a must and it is imperative, that this practice be on-going.

Production capability and its models of BTO and JIT shipping, although today it is a gold or killer app, especially when implementing within manufacturing and product distribution paths, these practices will need refinement.

The CRM module of applications perhaps is the largest imitative that e-Schwab will
undertake. The needs for process tie-ins improving customer up-selling by building
stronger relationships is in its best interest. Integrating portals for internals structures as well as customer value can go a long way in keeping its growing customer base. The opportunity to migrate its customer base away from its more traditional, brick-n-mortar establishments to the e-way of doing business is also in its best interest. CRM relationships encompass integration paths that will include billing, marketing, selling, customer services, support, shipping, accounts, and finance.

Creating an DE or opportunity evaluation for front-end process with back-end tie-in to
applications, configurations, lead generation, salespersons, partner inventories,
pricing/promotions, simply spell avenues to realize the least amount of cost and
complexity. To integrate CRM a vision of applications, service support, marketing, and
decision support for internal as well as executives need addressing. Teams that comprise of cross-functional groups enable ideas, innovations,and the end product. From functional integration to integrated sales and service innovation, a closed loop integrated marketing system will drive the data model analysis and a road map to success for e-Schwab.

Developing a business case is imperative to formulate strategy and more importantly,
buy-in from every senior management entity. By being currently ready for aggressive
competition the extracted and needed processes will come to light.

Project Management and implementation assures success when dealing with core
processes towards integration success. ERP and SCM cannot be of value without the above structure in place. It is this sharing of information, marketed data between customer and supplier that virtual fulfillment is possible when dealing with current customer, near term and emerging bases.

Granularity has its purpose in C2P, A2P, P2P and all are methods worth considering for a fully implemented ATP and ERP system when e-Business is at stake.

(c) 2004, 2008 Lyle K'ang All rights reserved.
The above written collection of essay's and pictures are copyrighted, and in the possession of said author. Permission to reprint must be had from said author in writing.

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