17.12 The Value of Standards and Participation in Their Development

Each version of DSL was nurtured and defined in an innovation incubator : standards committees. Members of the standards committees know that the standards process accomplishes much more than just writing the standard. Some managers fail to understand the value of sending top members of their technical staff to frequent standards meetings. Trying to explain the creative synergy and learning opportunities gained from participating in the standards process can be rather like trying to explain why a rose is beautiful. It is hard to explain the obvious; standards set the future course of the industry.

Standardization enables the provision of interoperable elements and systems from multiple independent sources. This helps to ensure that compatible elements/ systems will continue to be available even if the original source of supply ends. The feasibility of replacing one source of supply with another enables a competitive environment that stimulates low prices, good support, and continuing improvements. One may buy a mixture of interchangeable elements from different suppliers. Standards specify performance, reliability, safety characteristics, and methods for measurement and test. The buyer has the assurance that the standard elements comply to a comprehensive set of requirements. Thus, even if the buyer is not an expert, he or she can be assured that the standard element has the necessary performance and features. Standard systems provide the user (who may be a network technician) with a common look-and-feel; this makes the system quick to learn. Standard elements may be reused elsewhere. Standards improve manufacturing and vendor efficiencies by reducing the number of unique versions of product that must be developed and supported.

What is less obvious is that the standardization process is a stimulus to innovation. Vendors are more likely to introduce new products when they see industrywide buy-in to the new products. Through interactions in the standards committees, the vendors see the interest of the potential buyers . To assure success, the vendors and operators prepare for the associated systems to be in place. Through the personal relationships developed among the representatives of many industry sectors, the committee members explore what could be possible, as well as each other's intentions, needs, and concerns. To develop a full system view, an open interchange of ideas is needed among the system vendors, unit vendors, IC vendors, software providers, customer equipment vendors, test equipment vendors , network operators, content providers, end users, university researchers, and consultants . The lively review and criticism of proposals by peers in the same and other industry sectors is a rapid and effective means to find the best overall solution and ensure that nothing is overlooked. A well-managed standards committee exhibits both competition and cooperation. The members compete with each other in an effort to find a better solution. Yet the members also know that they must cooperate to produce results in a timely manner. With top technical talent supplied by the member companies and strong committee leadership, extraordinary results can be attained by the multidisciplinary interactions. Standards committees are often criticized for being slow, but it does take time to develop industry-wide buy-in and to develop a high-quality system definition. Once the standard is in place, one can proceed quickly and with confidence.

The best standards specify only what is necessary to assure interoperability, performance, reliability, and safety while not overly constraining implementation, optimization, and improvement. A well-managed standards process does not hinder competition, innovation, availability, and cost reduction. Suppliers can differentiate their products with supplemental features, cost efficiencies, versatility, ease of use, customer service, and other aspects.

Without a standard, a market leader may delay the entry of competitors into a market. However, if the market is attractive, competitors will eventually find a way to produce similar and perhaps compatible products. In most cases, the market leader would have been more successful from the larger market stimulated by a standard.

Involvement in the development of standards is an excellent means to learn what other companies (customers and competitors) have done and plan to do. Members of the standards committees are in the ideal position to learn of the latest development in technology and business plans. Standards set the future course of the industry, and those present during the development of the standard understand its implications and implementation far better than an outside reader of the final document. There are opportunities to help steer the directions dictated by the standards to benefit one's own company. Lastly, participation in the committees can help establish a company's credibility. The personal relationships with fellow committee members can be very useful building business relationships. The members who are willing to share some information, provide high-quality contributions, and can compromise when necessary can have a far larger influence over the final standard than other members. The chairperson of the standards committee can have significant influence over the outcome; however, there are limits.

A company cannot participate in every standards committee. Each company must individually select those committees that have direct impact on their company's interests. Furthermore, the opportunity to stimulate progress, the ability to influence the outcome, the prognosis for timely results, the value of the knowledge gained, and the relationship built must be considered for each committee. Once a company decides which committees it should attend , then it must decide if it will only monitor the meetings or actively participate and contribute. Attending the meetings and only taking notes (monitoring) has nearly the same costs to the company as active participation. Only active participation provides the benefits of speeding progress, establishing company credibility, influencing the outcome to benefit the company, and learning the lessons that only come from being fully engaged in the process. Members must work to understand the needs and concerns of the other members and be flexible whenever and wherever possible.

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