IT Business Edge – (I love the name of this magazine):
Seeking opinions from a diverse group of employees rather than just the usual decision-makers helps organizations mitigate risk, says Adam Siegel, co-founder and CEO of Inkling, Inc., a provider of prediction market software. “You want as much information as possible upfront so you can react to possible problems,” he says.
Siegel reads the 10K statements of potential clients to help identify their hot-button issues. When they express interest in the markets but wonder what kinds of questions to pose, he suggests establishing markets examining risk factors such as how pricing fluctuations affect the market for a company’s products or how acquisitions may impact the competitive landscape.
A drawback of prediction markets is that they won’t reveal the factors behind the bets. But, says Young, “If a red flag is raised about a particular issue, it’s not hard to go back and investigate” to determine the root causes of problems. “The bigger problem for most companies is they just don’t know what’s going to happen, and the red flag never goes up.”
– Excellent article.
– If you have missed our previous post, see here our little excerpt of the Forrester report.
– Adam Siegel is CEO of Inkling Markets, as you all know. His company website is very interesting to read. If you have never done it, do it right now. The general concept of prediction markets is explained, and they go down and dirty on how to set up your own enterprise prediction markets.