Technology

Back in 2003 a company called Linden Labs invited people to start their Second Life.  The 3D entertainment company had created a virtual world where people could create a character to represent themselves, called an avatar.  Furthermore, you could buy land, create items and sell them, or just socialize in this new virtual world.  Real world businesses tested the waters by creating virtual storefronts which would offer a form of advertising and marketing to in-game personas who were controlled by very real world consumers. 

Then came the griefer attacks, users who purposefully harrassed other users until they logged off or quit Second Life entirely, which caused no end of disruption and havoc to those who were looking to make the internet a serious business.  Corporate interest in Second Life seemed to fade.  But now, Second Life is seeing a resurgence in interest from businesses who are looking at the virtual world as a better way to train, save money, and encourage employees to speak their minds and take some risks. 
 
As fuel costs rise ever higher, companies whose reach extends across states and even countries are trying their best to manage travel expense budgets.  Second Life offers companies an engaging way to make connections with employees and clients without having to procure hotel rooms, airline tickets, and reimburse meal tabs.  The expense of booking hotel conference rooms and all the associated supplies from projectors to pads and pens can be a thing of the past.  The savings in time for individuals is also invaluable.  Attend a virtual conference with Asian and Australian branch representatives in the morning and still be able to make the home office team meeting in the afternoon.
 
Second Life also allows companies to take “what-if” scenarios to a whole new level.  Computerworld reported about one such exercise undertaken by IBM.  On a virtual island in Second Life, an IBM business group was presented with the problem of renegotiating contract terms with an existing client whose business model was transitioning from auto parts shipping to auto assembly.  “In two eight-hour sessions, about a dozen project managers located in different offices went in-world to work as a team to renegotiate IBM’s contract with the company. Using avatars, the project managers had to designate responsibilities, make proposals and pitches, and interact with the company’s CEO and CIO — everything that would happen in a real-life situation.”  Another company simulated emergency response procedures for dealing with an offshore oil-rig fire.  While hands-on training cannot be replaced by Second Life, the ability to observe personnel in action during an exercise that allows for worst-case scenario enactment is valuable.
 
Unexpected bonuses to virtual world meetings and training scenarios are increased employee risk taking and more effective communication.  Other technology solutions to face-to-face meetings like conference calls, chat rooms, and online meeting collaboration software have all lacked the ability to convey non-verbal components of communication.  Since non-verbal cues such as posture, tone, expression, and other body language signals are responsible for a majority of effective communication, virtual worlds with avatars that can emote such things will convey messages more accurately.  In addition, the element of having an avatar somewhat disassociates the actual person from the presented persona, and an IBM’s service design group manager, Susan Stucky attested that some employees took more chances in the virtual world than they would normally have done in an real world business environment.
 
But with every silver lining, there is a cloud.  In Second Life’s case, there are the issues of “griefers”, deeming what is acceptable, and some IT security issues to consider.
 
“Griefer” is a term created for those members of a virtual society who derive a sense of satisfaction and even a great deal of mirth from antagonizing other online personas.  Most notably, in Second Life’s arena the griefers have staged terrorist like attacks on virtual business store-fronts, and sabotaged virtual interviews and meetings with irreverent and, arguably, obscene measures.  Second Life’s answer to this has been to create proprietary domains which will allow access only to owner authorized avatars.  Such “islands” can be created for around $1000 with a monthly maintenance cost of about $300.  A small price to pay for peace of mind and exclusive conference rights.
 
Even more liberating than a glass or two of wine at the company holiday party, can be an avatar.  By creating an idealized representation of oneself, normal physical attributes which would keep one from approaching another person are no longer a factor.  This opens doors of communication that were once closed.  However, without clearly stated and enforced company guidelines, this can also lead to inappropriate or offensive behavior.  The LA Times found that IBM’s established policy states that should anyone “encounter behavior that would not be acceptable inside IBM, you should ‘walk away’ or even sign out of the virtual world.”
 
As with any emerging technology, there are questions of how best to utilize the power of a given solution while managing potential risks.  Many IT departments are not geared toward creating or even managing a virtual business environment.  It is possible to create a virtual world behind a firewall within a company’s infrastructure, but not many in-house company IT departments are at that level.  However, IT departments should be making efforts to understand how virtual worlds work, what measures a company’s technological infrastructure can take to protect itself, and securely manage an outsourced virtual company entity. Rob Enderle, principal analyst at San Jose-based Enderle Group, warned Computerworld, “Right now, the critical questions are being asked, and people will expect IT to have a baseline of knowledge, so somebody in IT [had] better be studying this.”
 
Sometimes the difference between success and failure is how well a company can re-invent itself.  Business majors around the world have studied cases like the fish net manufacturer on the verge of obsolescence that found a new market creating sporting nets for soccer and basketball use.   In repositioning itself as a place for collaboration instead of strictly e-commerce, Second Life raises itself above the e-commerce model and gives itself a second chance at becoming lucrative.

By Alicen Hogan