Vivienne Cox, former executive vice president of BP Alternative Energy who recently retired from BP after 28 years, gave a lunchtime presentation here at MIT earlier this week. Her subject? The challenges of providing energy to today’s world — and the threat of climate change.
Interestingly, Cox came not only to speak but also to listen. She spent a portion of the one-hour presentation encouraging the audience who had come to hear her to talk in small groups among themselves, sharing their views about how serious the world’s energy and environmental challenges are — or whether they can be addressed through technological advances.
Cox herself didn’t sound very sanguine — except about the supply of fossil fuels in the coming years. (”It’s my view that there’s plenty of fossil fuels around,” she said.) But on environmental issues — from climate change to fish populations — her tone was more somber. ”We just cannot sustain the resource-intensity of the last 20 years,” Cox said at one point.
While she observed that there is a growing consensus around the science about climate change, Cox admitted that she worries that our “system is stuck” on a path that will not allow the problem of climate change to be addressed until it’s too late. “I have to say I am not optimistic,” she said. However, she added, “I do not believe that that is in any sense an excuse for inaction.”
Here’s a paraphrase of a discussion-starting question Cox posed to the attendees at her presentation. On a scale of -10 to +10 — where +10 means we are fundamentally mismanaging the resources of the planet in a way that’s unsustainable and -10 means that technology will solve the problems – where do you each stand? What’s your personal perception about how serious the earth’s environmental and climate change problems are?
The nations of the world are in a “peaceful competition” to develop the energy technologies that will power the 21st century – and the nation that wins that competition will be the nation that will lead the global economy, U.S. President Barack Obama told an audience at MIT today. “And I want America to be that nation. It’s that simple,” Obama added.
Obama visited the MIT campus to deliver an address about American leadership on clean energy. In his speech about the topic, Obama evoked the pioneer history of the U.S., noting that the American people have always sought new frontiers. Todays’ pioneers, he suggested, include entrepreneurs, inventors and researchers. As a nation, Obama said “we have always been about innovation. We have always been about discovery.”
Obama noted that the stimulus bill represented the largest single boost in scientific research in history. He discussed the need to transform our energy system into one that’s far cleaner and more efficient – and said that transformation will be made as swiftly and carefully as possible. Obama said that the Pentagon has declared dependence on fossil fuels a security threat.
Heard an interesting talk about energy innovation today by Charles Weiss and William B. Bonvillian, authors of Structuring an Energy Technology Revolution, a new book from The MIT Press. In their talk, Weiss and Bonvillian discussed the challenges the U.S. faces in achieving the kind of energy innovation needed to address climate change.
Some key points from the talk:
Americans have a “covered wagon culture” (think pioneers heading west to new territories) that, in innovation, involves finding open territory and creating radical innovations. We’ve got an economy that operates at the technology frontier, observed Bonvillian. Our innovation system does biotech — but we don’t go back and innovate in health care delivery.
However, innovation in a complex, established sector like energy is much more complex — and requires a different approach to policy, he said.
To address the challenge, the U.S. needs a public strategy for energy technology that should be very large in scale and scope — comparable to the Manhattan Project in scale and scope, but not in form or organization, Weiss said. Because energy technology involves innovation in an established sector, “you want to organize it around obstacles to market launch,” involve public-private partnerships and be as technology-neutral as possible, Weiss said. That, he explained, is rather different from the traditional “pipeline” approach to U.S. technology policy, which stresses basic research as the key ingredient to radical innovation.
The new edition of Business Insight, which MIT Sloan Management Review produces in collaboration with The Wall Street Journal, contains a fascinating case study of a Subaru plant in Indiana that has found that reducing its environmental impact saves money. For example, the company says that it has reduced electricity-per-car consumption 14% since 2000. (Researchers Alan G. Robinson and Dean M. Schroeder report that they confirmed the company’s claims.)
The article goes into interesting detail — including a passage about how Subaru employees explored the contents of the company’s dumpsters to figure out ways to reduce waste. The most substantial cost-saving impacts, according to Subaru? “Where the biggest savings have been achieved, in descending order: reducing waste by revising processes, conserving energy; and working with suppliers.”
Will technology innovation eventually help lead the economy out of recession? Simon Johnson of the MIT Sloan School of Management is predicting “a wave of entrepreneurship,” which will start ”right away” but whose total effect won’t be felt for about five years, according to a recent article in The Boston Globe. Johnson notes that, in recent years, the wealth of Wall Street attracted many of the best technical minds into “financial engineering.” That’s now changing, for obvious reasons.
Meanwhile, MIT President Susan Hockfield recently shared with attendees at the fourth annual MIT Energy Conference her view that innovation will drive economic growth. Said Hockfield:
“I’m convinced that the next wave of economic growth will rise from the same source that powered the information and biotechnology revolutions: from innovation. And today, by far the most powerful potential for immediate, catalytic innovation is alternative energy.”
In what areas could technology bring new prosperity? That question was posed to a number of MIT professors in various fields last spring. Their answers ranged from biosolar cells to robots to sustainable cities.
Follow all of MIT Sloan Management Review’s coverage of TED.
Someone doing a study of collaborative innovation could start with a look at the TED Prize, three of which were awarded here last night. The winners this year were extraterrestrial life searcher Jill Tarter, ocean researcher Sylvia Earle, and economist, musician, and advocate Jose Antonio Abreu. The idea is that the prize winners announce their dream. TED kicks in $100,000 to start funding that dream. More important, the prize winner now has access to the people in the TED community. Immediately after the acceptance speeches and into today, I’ve seen dozens of TED luminaries pledge in-kind support to the dream of one winner or another.
This stone soup approach isn’t uncommon, but it’s particularly impressive because all these people are at the center of other communities and have much to offer: that’s how they wound up at TED. Indeed, previous winners of the TED prize have had their dreams fulfilled because of intervention and assistance from (that word again) TEDsters. The most high-profile example of that is photojournalist Jim Nachtwey, a 2007 prize winner, who had to surmount multiple political and technical hurdles to tell his story of a deadly disease that’s hidden to most people in the developed world. Contacts at TED helped him do that.
The TED Prize ceremony capped a day in which it was definitely technology, the “T” in TED, held sway. Some of it was about robots. We learned about medical robots that permit minimally invasive surgery and biologist Robert Full revealed what he learned about how tails work while building robots that mimic geckos.
The first day there was plenty of talk about robots, too, and some of the breakthroughs demonstrated on the TED stage have been placed in the lobby so attendees can get a closer look. You can, for example, interact with a realistic Albert Einstein head that changes its facial expression based on yours:
Yesterday’s talk from Shai Agassi, who, like so many other TED speakers, began his talk with a provocative question — “How would you run a country without oil?” — and told the story of his journey to build an electric car. He noted that “electric cars have to be more convenient and more affordable than what they’re replacing” and maintained that the way to do this is to “separate ownership of the car and ownership of the battery” and replace it with a business model in which people and companies “own the car but subscribe to miles.” When explaining why he decided on an all-electric car rather than a hybrid, he got off the line of the day when he quoted Renault CEO Carlos Ghosn, who’s one of many funding Agassi’s international effort:
Hybrids are like mermaids. When you want a fish, you have a woman. When you want a woman, you have a fish.
You can learn more about Agassi’s company, Better Place, which he’s using to develop — you guessed right — a community around his endeavor.
And, finally, there was a big storm yesterday in Long Beach, as you can see:
For a conference that’s supposed to be about long-term ideas, those ideas sure get spread at record speed. Thanks to blogs and especially Twitter, reports from the first day of this year’s TED conference (here’s a TED primer for managers, if you need one) began flowing within seconds after a speaker noted something particularly noteworthy. As I write this post before dawn the following morning, I see that there is plenty of good, almost-instant coverage, particularly from Ethan Zuckerman, BoingBoing, and the official TED blog. Rather than deliver a blow-by-blow list of everything that happens, which can get tedious quickly and allows for hardly any reflection, the idea here is to identify the most important parts of the long day and night (with 48 speakers or performers, events started at 8:30 a.m. and ran past 11 p.m. — and that’s just the official events) and give a sense of what it is like to be here.
The two stars of the big morning session were Juan Enriquezand Bill Gates. Enriquez is the sort of polymath made for a diverse conference like TED: he’s done everything from run the Life Sciences Project at Harvard Business School to serve as a member of the peace commission in Mexico that negotiated the cease-fire in Chiapas’ Zapatista rebellion. He’s best-known, perhaps, as a presenter: I’ve witnessed him speak engagingly on everything from why schools in the Arabic world used to be the best in the planet but aren’t anymore to why being knowledgeable about genetics is just as important as being digitally literate.
Back in October, just as the political and business leaders were starting to understand the ramifications of the financial crisis, Enriquez delivered a raw, whirlwind presentation at the Pop!Tech conference that focused on what the then-yet-to-be-elected new president needed to do, with an emphasis on austerity. I don’t know how long it will be until Enriquez’s talk yesterday is posted to TED.com, but those who want a taste of it can see an earlier iteration from Pop!Tech:
Enriquez started his talk and the conference by jumping straight into the economy. TED is 25 years old this year, and Enriquez was the first of many speakers the first day to couch his analysis in terms of a 25-year cycle. He’s updated the talk substantially since its October debut; its tone is now more optimistic than its shell-shocked counterpart at Pop!Tech, with a persuasive argument that, in the long term, technology is more powerful than the current financial catastrophe. He identified our ability to engineer cells, tissues, and robots as the economic engines that will outlast the downturn. Among his most compelling examples was a realistic robot from Boston Dynamics that comes astonishingly close to moving like a human:
In a later presentation, coincidentally, another speaker cited the same robot in a talk about the future of war: most technology is neither inherently good nor evil. It’s all in how it’s used.
Bill Gates needs no introduction: he’s the most successful capitalist and philanthropist of his time. And, in keeping with the theme of the event, he stated “I am an optimist” (why shouldn’t he be?) and spoke fluently and passionately about two of the big questions his foundation is trying to answer: how do you stop deadly diseases spread by mosquitos?” and “how do you make a teacher great?” He spoke with both anger (”there’s more money put into treating baldness than malaria”) and disbelief (in some school districts, teacher contracts require that a principal can only enter a classroom once a year, with advance notice). But the blogosphere and twittersphere (there has to be a better word than this) were, er, buzzing with a stunt Gates pulled while discussing malaria, the deadly disease spread by mosquitos:
“Not only poor people should experience this,” Gates said as he opened the jar and let a pair of (malaria-free) mosquitoes into the room. Several prominent blogs referred to Gates “unleashing a swarm of mosquitoes on his audience” but I don’t think two counts as a swarm. The move did lead TED curator Chris Anderson, who’s got a background in publishing, to crack that a good headline for the talk would be “Bill Gates Releases More Bugs Into the World.” Anderson also said that Gates’s talk will be posted to the TED website later today. We’ll point to it.
The pick of the afternoon sessions included talks by co-chairman of Infosys, Nandan Nilekani, filmmaker Jake Eberts, MIT’s own Pattie Maes, and Interface CEO Ray Anderson. The morning sessions start soon, after a breakfast appointment, so for now let me offer some highlights (more detail coming later in the day):
Nandan Nilekani spoke about his upcoming book, Imagining India, in which he endeavors to consider the wild disparities of India in terms of four types of ideas: ideas that have arrived, ideas in progress, ideas in conflict, and ideas in anticipation.
Filmmaker Jake Eberts showed a nine-minute rough set of excerpts from Oceans, a new film from the team that made Winged Migration about the underwater world. It was jaw-droppingly beautiful and earned a standing ovation for its thrilling shots of jumping whales, forests of jellyfish, and (apparently) friendly sharks. There’s no link available yet for the video; the film isn’t coming out in the U.S. until April 2010.
Pattie Maes, who runs the Fluid Interfaces Group at the MIT Media Lab, showed off an early version of “Where Ur World,” a multitouch system developed with Pranav Mistry that seeks to combine online information with real-world interaction in surprising ways. The example that left the audience smiling was one in which Pranav shook hands with someone and a tag cloud relating to that person was projected onto that person’s shirt. The website for the project is still under construction.
Almost-president Al Gore offered an update of his Inconvenient Truth talk (summary: things are getting worse), but more compelling was Ray Anderson, founder and chairman of Interface, who spoke of how he’s turning the world’s largest manufacturer of modular carpet into a model of sustainability. Anderson had plenty of useful nuts-and-bolts information about how companies should think about sustainability, which we’ll spell out later, but his money quote came from Amory Lovins: “If something exists, it must be possible.”
The sun is up, the day is beginning. I have much more to pass on about Day 1 of TED (yes, I waited on line for food with stars; yes, the Long Beach experience is different from Monterey) and I will as the day progresses. But right now I’m interested in learning more from Ray Anderson, which is why I’m signing off and going to interview him.
Much more to come …
(Housekeeping note: someone has asked what the “#TED” in the headline means. It’s a hash tag, intended to make it easier for people to search for, in this case, blog and Twitter posts about TED.)
This week, MIT Sloan Management Review is in Long Beach, Calif., for this year’s TED conference, which starts tomorrow. We’ll report daily. Now in its 25th year, TED remains an unclassifiable event. The letters of the name originally stood for technology, entertainment, and design, but in recent years the tag line for the event has become “ideas worth spreading.”
The event is certainly an elitist one. It’s expensive, hard to get into, and you’re just as likely to bump into web inventor Tim Berners-Lee as Overboard star Goldie Hawn in the food lines. If nothing else, TED is a trip. The veteran conference (this reporter has been to six of them) has gone through many permutations. Under curator Chris Anderson, TED is still full of technology, entertainment, and design, but it has really lived up to the change-the-world rhetoric that was always a bit more under the surface during Richard Saul Wurman’s ace stewardship. One high-profile example: Al Gore’s warning about global warming turned into An Inconvenient Truth after a movie producer saw him deliver the talk at TED. Last year E.O. Wilson debuted here the first iteration of his Encyclopedia of Life, funded by a TED grant.
The change-the-world attitude gets a bit out of hand: there’s plenty of talk about how for the past two years the gift bags, by Rickshaw Bagworks, have been constructed from 100-percent post-consumer recycled beverage bottles, but hardly anyone points out that the bags are overstuffed with non-essential items that have a much greater impact on the environment. Indeed, TED is a place for conspicuous consumption, even if it’s relatively sustainable consumption; it’s the only conference I’ve been to in which I’ve seen anyone drive up in a Tesla. (I’ve seen two today here as well as an even more cutting-edge vehicle.) Those with similar ambitions to TED’s, but a more limited budget, may wish to consider attending the alt-TED BIL, which is also in Long Beach this week (and which I hope to visit while I’m here).
For many years, TED was held in Monterey, Calif., but success has brought it to a larger venue farther south, in Long Beach (there’s a smaller, parallel, event being held east of here, in Palm Springs). At Monterey, most of the conference took place in one area. Here, with banners everywhere and events more spread out, it feels like the event has taken over the town, like Sundance does in Park City, South by Southwest does in Austin, and Davos (aka the World Economic Forum) does in, well, Davos. We’ll see how that works.
Especially if that optimism is realistic. Except for its entertainers, TED is an irony-free zone, a place where earnest speakers talk about fixing the world as if it is not merely possible, but mandatory. As we’ll see during the conference, the speakers here have a pretty good track record at improving one or another part of the world. The theme for this year’s event is “The Great Unveiling,” which refers in part to the conference’s new location, but also to new ideas due to be debuted here.
So why should managers care what’s happening here? Because the best new ideas helps make good managers better. The joke among TEDsters (an annoying term, yes, but it has stuck) is that attending the conference is an endurance sport. It’s one thing to be in a room listening to spectacular insights for a few hours. It’s another to be doing so for half a week. Nonetheless, part of the experience you get from being at events like TED is that feeling of being overwhelmed: someone just said what feels like the smartest thing you ever heard — and then the next speaker says what feels like the smartest thing you ever heard — and then … well, you get the idea. It’s intellectually exhausting, but it’s also thrilling. And, during the best talks, you can’t help thinking: How can I act on this?
A recently posted video features Robert Malone, chairman and president of BP America, Inc., speaking during an October visit to the MIT Sloan School about the need for a comprehensive national energy policy for the United States. Interestingly, Malone, who covered many topics, included in his talk a discussion of the benefits of placing some type of price on carbon dioxide emissions.
Noted Malone: “Until every producer and every consumer knows the cost of carbon, then the uncertainty with planning and investing in all kinds of energy projects is going to remain high. Pricing carbon will make energy conservation a lot more attractive, and it’s going to attract dollars into the renewables….It’s also going to allow informed decisions about investments in fossil fuels — and it’s going to make us look hard at the technology that we use, because the ultimate goal will be to reduce the carbon impact of those fuels.”
Here’s Malone’s speech (the section on climate change and pricing carbon begins about 27 minutes into the video) :
Transparency, accidental innovation, trust, collaboration — as sustainability affects how the world works, so will it affect how business works in the world.