UOB hackathon 2017

Modular architecture: Control vs. Openness

A firm seeks to attract different partners to design and develop new components outside a platform core.

These firm's innovation activities influence each other by being reciprocal and recursive. Thus, the innovation is the demand side based.

Firm needs to have the capability to create new uses of its services and platform. Just think of Amazon who was a bookstore in the beginning, but now sells basically everything.

Today's platform market has become a dynamic mashup of unforeseen dependencies among content, devices, networks, and partners. PayPal exemplifies this change. The payment service uses a sophisticated digital platform seamlessly to integrate with websites from which music, videos, movies, application, magazines and books can be purchased.

On one hand, the platform provider seeks to maximize innovation through open innovation and layer module architecture. But on the other hand, the platform provider seeks to keep some parts of the platform under strict control. So, every layer in the digital platform include designed rules, data control and govern the platform and its components.

Network effects tends to lead to concentrated markets

Consumers prefer credit cards accepted by more merchants, while merchants prefer credit cards carried by more consumers.

An additional customer on demand side of the market will add value to the other side of the same market. In another example, more gamers on Steam platform will increase the value of game content manufacturers. More merchants accepting American Express increases the value for American Express cardholders.

This eventually leads to concentrated markets. This is why network effects typically lead to giants – Wechat, Facebook, Twitter. 

Productivity through outsourcing

Outsource outsource outsource. At your job, don't be the one who soaks up bullshit work from bosses

Many executives also spend too much time on operational details, such as the best flight to take or the seating plan at a corporate dinner. Such tasks should be delegated, if possible, to an executive assistant. Of course, the boss must be able to rely on this person to get the tasks done correctly, quickly, and politely. Once confidence is established, he or she should go to great lengths to support and retain such an assistant, who is crucial to being productive.

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Alex Lew, CFA 

Porter’s strategy

Strategy is about choosing what NOT to do. Strategy is not just about creating nice slides. Good companies ponder daily their business mix. 

(An extract from Jeff's article)

Finally, simplification was all about reallocating resources to fund more growth and identify and solve customers' problems better. When companies are slow, it is typically a sign that their costs are in the wrong place. One of the reasons big companies fail is that they don't think they can afford something and aren't willing to free up the resources to make bold moves. We are investing heavily in making GE a digital industrial company. Last year we put about $4 billion into developing our analytics software and machine-learning capabilities and another $2 billion into building a leadership position in additive-manufacturing equipment and services—an emerging field that is going to revolutionize manufacturing. We had to run leaner in other places to make those investments.

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Alex Lew, CFA 

Bitcoin consensus and stakeholders

Bitcoin required consensus

Consensus of rules – which kind of block exists

Consensus of history

Consensus that coins are valuable – who owns the coins

These consensuses provide incentives for bitcoins mining. Bitcoin relies on consensus, it relies on agreement by the participants and that that consensus is a fragile and interdependent thing.

Who are the stakeholders?

Miners write history, make the blocks, record transactions. Investors decide if the bitcoin has any value. Merchants and users influence its acceptance.

FAQ: Why is blockchain attractive?

Beauty of blockchain lies in common agreement

Everyone can agree upon a single published block chain that is the agreed upon history which transactions have happened.

People can agree which transactions are valid and which transactions have actually occurred.

Ability to assign IDs to things in a decentralized way.

This means there is no need for central authority. No one has the final say unlike cash, where central banks decide the volume of money.

FAQ: How do we know if a blockchain transaction is valid?

4 premise to check for transaction validity

• First, if the consumed coins are valid, that is they really were created in previous transactions. 
• Second, that the consumed coins were not already consumed in some previous transaction, this is not a double-spend.
• Third, that the total value of the coins that come out of this transaction is equal to the total value of the coins that went in. 
• And finally that the transaction is validly signed by the owners of all of the consumed coins. 

FAQ: Who guards the creation of bitcoin?

A crypto currency transaction is always valid. This is so because the user said so. He puts it in the block's history, signs it and this has to be valid.

The beauty of cryptocurrency is here - there is no need to worry if someone is entitled to create coins. Anything that's placed in the history and signed, is valid. This is where the efficiencies of transactions are derived.

Is Tencent raising its game with its credit score system?

All eyes are now on Tencent’s credit score system. But what exactly does this mean for Tencent and its nemesis, Alibaba?

Tencent’s credit score system is stealing the limelight even as onlookers anticipate Alibaba’s monthly update of its Sesame Credit. Tencent is granting some of its users access to its credit score system in the run-up to “8.8 cashless days.” This is Tencent’s latest bid to get a slice of China’s US$5.5 trillion mobile payments market.

Only QQ super members are eligible to view their credit score for the time being. This means users must pay at least 20 yuan to view their credit score. Tencent’s strategy is similar to Alibaba’s Sesame Credit back in 2015.

Accessing Tencent’s credit score is an obscure process. Users must first take note of the “Tencent credit” public number. After selecting “my credit”, users will need to enter the name and identity number. The corresponding credit score then appears; it lies within the range of 300 to 850.

This is just another chapter in the intense battle between Alibaba and Tencent

Tencent and Alibaba have been in a longstanding dispute over payment matters. But Alibaba is advancing much faster when it comes to the credit score system. In January 2015, Ant Financial Services (蚂蚁金服) officially launched the Sesame Credit score. Over the years, it has access to more services – accommodation, travel, consumption, and loans. These rapid changes make many users pay attention to Sesame Credit’s monthly updates.

Tencent has been going all out to promote WeChat payment and QQ wallet. But it has been relatively cautious when it comes to personal credit. As early as 2015, Tencent has become one of the first batches of personal credit licensing units in the Central Bank. Its credit score system’s official website has been inactive for several years.

Tencent’s credit inquiry has been kept on such low profile allegedly thanks to “Pony” Ma Huateng.

“Isn’t such product buying and selling of personal data?” Ma retorted when he was approached by the person-in-charge of the Tencent’s credit inquiry. Ma then demanded that the distribution of the product be stopped for “protecting user’s privacy.”

Ma’s views appear to have changed. In his speech at last year’s Tencent Cloud summit, he mentioned that “Tencent will keep a long-term record of every user’s credit” to protect the rights and interests of its partners.

The absence of a credit system has always been an obstacle to WeChat’s expansion in China. Establishing an in-house credit scoring system is an imperative.

Chinese consumers are more concerned about the actual utility of Tencent’s credit score system

A user’s credit score is broken down into five categories – social index, safety index, wealth index, performance index, and consumption index. These criteria are similar to Sesame Credit’s.

Tencent and Alibaba have their own characteristics and advantages when formulating their own credit systems. Alibaba’s credit data is mainly based on the large number of e-commerce transactions and the addition of financial products such as Yu’ebao (余额宝), which is more heavily weighted towards data from Internet finance.

Alibaba is less adroit when it comes to social networking features. Alibaba has worked hard over the years but the results are not always satisfactory. The latest incident was the “Circles” event. Alipay attracted an uproar when it intended to use the Sesame Credit to enter the high-end dating market. Alipay then pivoted back to focus on payment mode and finance.

Social networking is Tencent’s natural niche thanks to QQ and WeChat. WeChat has nearly 900 million monthly active users while QQ has more than 860 million monthly active users. This can provide a large number of continuous and traceable user behaviour data for Tencent. In its introduction page, Tencent credit mentioned that the user's friendships and his circle of friends are also a factor in measuring one’s credit score.

Tencent does not have the same electronic business platform that Tmall and Taobao have. These platforms can help obtain consumption data. The evaluation of the user’s consumption index mainly comes from Tencent mobile QQ, WeChat payment, and shopping behaviour. Tencent may have access to JD.com’s consumption data thanks to QQ’s and WeChat’s connections with the e-commerce company. This means greater prospect of opening up “small credit” with JD.com.

An average user is more concerned about the practicalities of the credit score. Tencent’s credit score system has limited application for the moment as it is launched not too long ago. Aside from micro credit loan products and Everbright Bank credit card application, other functions such as mobile phone repair and car insurance instalment payment are not the average user’s concern. “Mobike deposits” are capturing substantial attention even though nothing concrete has been unveiled.

How Tencent’s credit score system can sharpen its competitive edge remains up in the air

Bike-sharing companies, including Ofo and BlueGogo, have introduced the Sesame Credit to waive off deposit fees. Mobike is unlikely to tap on the Sesame Credit thanks to Tencent. Mobike’s 299 yuan security deposit continues to draw heavy criticism. Users stand to gain if their accumulated points could leverage on Tencent credit to waive off deposit fee.

Tencent credit score can also be increased through supplementary work and education information. This is not too different from Alibaba’s Sesame Credit. But Tencent risks attracting the lawbreakers’ attention as its application scenarios expand in the future. Ant Financial once refuted the “swiping scores” claim by insisting that the so-called “gaining points” method is implausible. Tencent risks facing the same fate; it must be ready for this.

Tencent and Alibaba are waging a new battle in the credit score scene. But it remains uncertain whether Tencent, who has a slower start than Alibaba, can still wield the similar counter attack move it did with its WeChat payment years ago.

追求成功，活出精彩

每个人在一生中都有很多目标。从小的说起，比如在周末之前清理完车库，到取得改变生命的成就，像是在10年内存到2万美元这样。

只要相信成功，你的精神力量将会帮助你完成目标，作为它的衍生品，你能通过鼓励别人对你的信任来建立一个支持系统。

不要仅仅是熟记。事实上，这个方面可以少做点，但是你要加强自身创造性思维的能力。

通过现实记忆，你能掌握一些信息，并把它们储存在大脑中便于日后的回忆。但是这些记忆中的许多事件最终都会变得如同车库里的破旧盒子般：只在你需要的时候才捡起它们。

另一方面，创造性思维则专注于寻找创新的解决方案。这意味着要提出新的、改进的方法来处理任何问题或挑战。

尽管记忆事实本身很重要，但是创造性思维给了我们快速且有效地克服任何障碍的能力。现实记忆使我们的大脑变得呆滞不堪;而创造性思维却使我们的大脑具有适应性和灵活性。

这意味着成功人士总是专注于提高他们的创造性思维，而不是仅仅去尝试记住事实。

你可以用这三种行动来激发创造性思维:接受新思想，尽可能多地抓住尝试新事物的机会，每天早上花十分钟来反思这个问题，“我今天怎么才能做得更好呢?”

有种办法，可以让你通过多样化的生活方式来促进这三种行为，做各种各样展现自己不同个性的工作。

交优秀的朋友

你可能很熟悉“人如其食”这句话，这意味着如果你想拥有一个健康的身体，你应该遵循健康的饮食习惯。同样的想法也适用于你的心态:你的思维方式会对你所看到和听到产生影响。你的生活环境，朋友，你所阅读的文章都会影响你的思维过程。

例如，长时间与喜欢说流言蜚语的人交往会更容易使你变得八卦。相反，与那些只对别人说积极的话语的人长期相处会让你也变得和他们一样。

没错，你正被与你交往的人影响着呢。

你要让周围充满优秀的人才，他们不仅仅有雄心壮志而且相信你的梦想，并认为你能最终能实现它们。你身后有这样的力量来支撑，你就能沿着通往成功的或许带些荆棘的漫漫长路上前进。

保持积极向上的态度

一个保持积极向上的心态的方法是确保你做了在道德上你认为是正确的事情。当人们做一些有悖道德的事情时，比如对某个重要的人撒谎，或是对朋友不问自取时，这会使你内疚，并侵蚀着你的内心。这些负面的想法总是伴有一个恶劣的态度。另一方面，对自己的决定感到快乐和舒适，会建立更多的信任，从而维持你更好的心情。

但最重要的是，没有什么能像相信你在生活中所做的事情是重要的并且有价值的那样让你拥有一个积极的态度。自然而然，这会成为你永久的信心来源，让你毫无理由怀疑自己。

消灭恐惧

“恐惧都源自于你的思想”这个观点，经常被用来帮助人们来克服他们对接近某些情况不明事件的犹豫。

正如我们的免疫系统需要适当的营养来发挥作用，我们的信心需要持续的支持，以确保它尽可能可靠和有效。

一个建立信任的最好方法是什么？开始表现自信，即使你感觉不到。起初，这将很难维持，但随着时间的推移，就变得自然了。这是因为你可以按照你想要的方式来控制自己的情绪。

接受失败亦是生活的一部分

成功的人在面对挫折后会振作起来。当失败者忙于为他们失败寻找借口时，成功的人正在掸去灰尘，寻找并尝试另一种方法。

每一个成功的人都会遇到同样的问题比如反对、气馁、挫折和不幸的个人遭遇，正是这些处理挑战的方式使他们变得出类拔萃。

Mindset change impacts lives and success

People with a fixed mindset hinder their development due to their belief in “natural” talents and their adherence from failure. People with a growth mindset perceive challenges as an opportunity to achieve their dreams. 

Fixed mindset

Many people believe talent is the most important aspect of a person’s abilities. They believe that a person’s talents are set from the moment they were born; a person is, naturally, either intelligent and talented or stupid and inefficient, and this is unchangeable.

Companies such as Enron and McKinsey adopt this way of thinking. Their HR departments invest large sums of funds into searching for these “naturals” at schools. These hired graduates are expected to immediately boost the company’s results with their abilities. Since these graduates are expected to know it all, they receive little to no training and do not have any career progression.

As a result, their performance is evaluated critically and constantly. This invokes the question: Are these graduates as smart as they appear or will their mistakes eventually reveal their lack of talent to finish the job?

Employment under fixed mindset

Employers with this mindset believe employees who are not perfect from Day 1 will never improve, hence, it would be more business-sound to fire them. Furthermore, such employers believe that people should only do things they have a natural ability for. As they are quick to determine whether people are good or bad at something, they assume they themselves are being judged as well.

Real life examples of both mindsets 

Those with a fixed mindset seek validation from other people, while those with a growth mindset seek progress. For example, Lee Iacocca, CEO of Chrysler Motors, only rose to his position when it was on the verge of closure. Fortunately, with the help of his decision-making skills and good judgement of people, the company rose to its current pinnacle.

However, his actions changed after the company’s huge success. He became dependent on the number of awards he had, boasting his high position in the company and channelling his energy into his image than the company’s development. Eventually, he relied on others’ approval of him to survive.

Iacocca demonstrated a fixed mindset. Others’ opinions of him mattered more than the company’s progress. He seeks to appear smart and gifted in front of people, instead of coming up with plans to improve his company.

Another contrasting example would be that of Lou Gerstner. Gerstner became CEO of IBM when it was closing down. Bogged down with a fixed mindset, much time and energy were wasted on internal conflicts instead of working and planning together. Every man for himself, this thinking would eventually lead to its downfall.

Subsequently, Gerstner dissolved the company’s hierarchies and built on teamwork, encouraging peer support within teams. With added communication platforms within the company, he lowered his position to that of his employees and this allowed him to have personal interactions with his workers.

Gerstner’s growth mindset allowed to him to create a conducive working environment. This pulled the focus away from the individual employee’s success and towards shared progress. One for all and all for one, the company thrived.

Fixed mindset versus growth mindset

People with a fixed mindset shun problems; those with a growth mindset embrace and work them.

Many things in life can only be achieved by working hard. When people with a fixed mindset face challenges, they view them only as risks – the more they work on something, the harder their image shatters if they fail it. As such, people with a fixed mindset can never outdo themselves. They fail to doubt their own talents and work on their flaws.

One prime example would be that of Nadja Salerno-Sonnenberg. At the age of 10, Nadia was famous for her violin skills. When she turned 18, she held her violin incorrectly and her fingers grew stiffer. She was so afraid of failure she could not learn anything new and eventually, she abandoned the one thing she loved so much.

Actor Christopher Reeve was predicted by doctors, to be paralysed neck down for the rest of his life after his accident. However, his growth mindset allowed him to overcome this and he took hold of his situation. With a stringent and tiring training plan, he made the impossible possible. He could eventually move his entire upper body after practice.

Challenges give people with a growth mindset the opportunity to pursue purpose-filled actions. The more dejected they are, the more energy they put into fighting against – and rewriting – their fate. Like Reeve, they strive to make the impossible possible.

People with a fixed mindset hinder their development due to their belief in “natural” talents and their adherence from failure. People with a growth mindset perceive challenges as an opportunity to achieve their dreams. The more failure they face, the more effort they put in to fight against it. Similar to Reeve, they fight to make the impossible possible. By facing our own failures and working hard, we can realize our potential to the maximum, and develop a growth mindset.

固定性思维模式

有固定思维的人因为相信天生的才能以及他们对失败的恐惧而阻碍了个人的发展。相反，拥有成长心态的人努力工作，刻苦训练，最终能充分发挥他们的潜能。

固定思维

拥有固定思维的人认为天赋是最重要的。在他们看来，一个人的能力是从一开始就形成的；每个人天生就会展现出聪明才智或者冥顽不灵，并且一直保持着这种天性直到最后。

就连安然(Enron)和麦肯锡(McKinsey)这样的大公司,他们的人力资源部门也会投入大量资金，在大学里物色所谓的天才，如此一来，更是具化了这种思维模式。他们期望所雇的毕业生能用出色的能力迅速提升公司的业绩。但由于毕业生本身天赋异凛，也就几乎不怎么接受培训，也不期待在工作中有所进步，抑或快速融入新的角色。

因此，他们的上司不停地对他们进行评价：这些毕业生真的像我们认为的那样聪明吗?如果他们犯错了，他们是否有能力来纠正它?

有固定思维的人认为，从第一天起就做不好的员工是永远也做不好的，所以最好让他们快点走。

此外，拥有固定思维的人相信他们只能够做天生就擅长的事，很难去熟能生巧。甚至他们会对自己和他人的处事好坏做出立刻的判断，同时也会假设其他人也一直在评价他们，因而他们觉得有必要在所得到的每一个机会面前，去显示他们有多么地才华横溢，聪明智慧。

他们认为自己的地位岌岌可危：一旦失足就足以被别人称为终生的庸才，从而不断寻求他人的认可来保护自己脆弱的自尊心，还要确认他们真的像别人想的那样棒。

有固定思维的人寻求认同；有成长心态的人会寻求发展。

真实生活中的例子

克莱斯勒汽车公司(Chrysler Motors)即将倒闭的时候，李•艾科卡(Lee Iacocca)成为了首席执行官。由于他的当机立断以及给员工的良好感觉，使得公司重焕生机。

但在那之后，他突然改变自己的行为，开始止步不前，炫耀自己的优势，除却公司的福利，他把更多的精力投入到自己的形象之中。他唯一的目标变为寻求他人的认可。

显然艾科卡有固定的思维模式。就像他把所有东西归类为“好”或“坏”一样，他觉得别人在审视他，把他当作成功者或失败者。因为他想要成为一个赢家，他试图表现得像个聪明智慧的人，而不去寻找改善公司的方法。

与此形成鲜明对比的是，郭士纳Lou Gerstner，在IBM即将破产的时候接管了它。由于受到固定思维模式环境的困扰，公司在内部分歧上浪费了精力，并不专注于服务与团队合作。每个人都自私自利，只为自己着想；因此，公司没能满足客户的需求。

为了改变这种状况，郭士纳打破了公司的等级制度，强调团队合作，奖励那些支持他们的员工。他还打开了整个公司的沟通渠道，使自己与他的员工处于同一水平。种种这些，使他能够最快地与尽可能多的员工建立联系。

Gerstner的成长性思维使他能够在团队合作和发展的基础上创造一个新的工作环境。焦点从个人的成功转向共同的发展。基于这个概念，他能够在IBM持久的成功。

固定思维与成长思维的区别

有固定思维的人寻求认同;那些有成长心态的人会寻求发展。

有固定思维的人逃避困难，有成长性思维的人享受困难。

生活中有很多事情我们只能努力去实现。然而，当有固定思维的人面临困境时，他们所能看到的只是风险，因为他们投入的时间和精力越多，如果失败了，他们就越难找到借口。另外，他们相信天赋的巨大力量:有天赋的人不应该那么努力。

这种思维方式使有固定思维的人不可能在不质疑自己的天赋的情况下变得更好，因此他们避免了困难的情况。他们不想让自己成为一个傻瓜。

小提琴家Nadja Alerno - Sonnenberg展示了这种行为。10岁时，她已经受到了评论界的好评；到了18岁，由于利用不正确的姿势来拿小提琴，而变得手指僵硬，每次她尝试学习新的东西，她就会害怕失败，她停止了在课堂上演奏小提琴，并避开集体的演奏。

如果演员Christopher有这样一种心态，他将会在他事故后和医生的预测一样，在余生完全会是瘫痪。然而，他有一种成长的心态：他不是被动地接受自己的命运，而是控制了自己的处境。

因此，他接受了一项艰苦的训练计划，然后不可思议的事情发生了:与所有的诊断相反，他移动了他的手，然后他的腿，最后，他的整个上半身。

挑战给人们提供了一个追求目标的机会。他们越是沮丧，他们就越有精力去反抗和改写自己的命运。像Reeve一样，他们努力使不可能成为可能。

有固定思维的人避免困难；那些有成长性思维的人喜欢困难。

有固定思维的人相信天生的才能以及他们对失败的恐惧阻止了个人的发展。相反，拥有成长心态的人努力工作，刻苦训练，最终能充分发挥他们的潜能。面对我们自己的态度和想法，我们需要培养成长性思维。

Finding success, living out your success

Everyone has goals throughout their lives. These range from small tasks, like cleaning out the garage before the weekend, to life-changing achievements, like saving $20,000 in ten years.

By just believing in success, your mental power will shift to help you get the job done, and as a byproduct, you’ll create a support system by inspiring others to place confidence in you.

Don’t just memorise. In fact, do less of it, but increase your creative thinking capabilities

With fact memorization, you learn pieces of information and store them in the brain for recall later. But many of these remembered events end up like old boxes in a garage: you only access them when you need what’s inside.

Creative thinking, on the other hand, is focused on finding innovative solutions. This means crafting new, improved approaches for handling any problem or challenge.

Although memorising facts is important in its right, creative thinking gives us the ability to quickly and efficiently overcome any hurdles we encounter. Fact memorization makes our brains rigid; creative thinking makes our brains adaptive and flexible.

This means that successful people always focus on improving their creative thinking rather than merely trying to remember facts.

You can boost creative thinking with these three actions: be receptive to new ideas, take as many opportunities as possible to try new things, and devote ten minutes each morning to reflecting on the question, “How can I do a better job today?”

One way you can help promote these three actions is by diversifying your lifestyle. You could work on a variety of things that give you different exposure!

Keep quality friends!

You’re probably familiar with the phrase “you are what you eat,” which implies you should follow a healthy diet if you wish to have a healthy body. That same idea applies to your mentality: the way you think is influenced by what you see and hear. Your living space, your friends, what you read influences your thought processes.

For example, prolonged association with people who gossip will make you more likely to gossip. Conversely, prolonged association with people who only speak positively of others will cause you to do the same.

Make no mistake: you are affected by the company you keep.

Surround yourself with the highest quality of friends – those who not only have their ambitions but also believe in your dreams and believe you’re capable of achieving them. Having this support system behind you will keep you motivated along the long, sometimes daunting, path to success.

Keep a positive attitude!

One way to keep a positive attitude is to make sure you’re doing what you believe is morally right. When people do things they don’t feel good about – like lying to a significant other or taking from a friend without asking – it harbours guilt and erodes confidence. These negativities always show up with a bad attitude. Being happy and comfortable with your decisions, on the other hand, builds more trust and therefore sustains your better moods.

But most importantly, nothing provides a positive attitude like believing that what you’re doing in life is important and worthwhile. This will naturally become a perpetual source of confidence, and leave you little reason to ever feel doubt toward yourself.

Destroy fear.

The advice “fear is all in your head” is often given to help people overcome their hesitancy toward entering situations they’re uncertain about.

Just as our immune system needs proper nourishment to function, our confidence needs continuous support to ensure it’s as reliable and efficient as possible.

What is one of the best ways to build trust? Start acting confident – even if you don’t feel it.

At first, this will be difficult to sustain, but over time it’ll become natural. This is because you can manage your emotions by behaving the way you want to feel.

Accept failure as part of life

Successful people bounce back after setbacks. While failures are busy finding excuses for why they failed, successful people are dusting themselves off and looking for another way to try.

Every successful person has encountered the same opposition, discouragement, setbacks and personal misfortunes as failures – but the way they chose to handle these challenges made them the leaders of the pack.