InformationWeek

Theresa Traw, who runs Alyeska's travel and purchasing-card program, uses videoconferencing to train 250 purchasing cardholders how to use new software. She's held 15 distance-learning sessions since August 2000. "It was immediate feedback for everybody. After the training, they would go back to their desks, log in, and see the software in action," Traw says. Traw estimates that training via videoconferencing has saved Alyeska $75,000 in travel costs so far. And that's not including what would have been lost time for 250 people.

Commercial planner Glen Plumlee of Alyeska's strategic-planning group has been using videoconferencing to roll out a pilot E-business program. Plumlee and his team are automating an expenditure authorization process so that employees can distribute and approve expense reports electronically. Part of the process is training nearly 70 people how to use new software.

"It can be a logistics nightmare to get everybody together in the same room," says Plumlee. "When I've flown to Valdez, many times my flights have been turned around. The airport is right near mountains. Many times the Thompson Pass is snowed in, so you can't fly or drive in or out."

The solution? Plumlee held three training sessions each day, for two days via video. As the vendor demonstrated the new software on the screen, the class at the two locations could see the software on a full screen, the vendor in one video window, and the other class in second window. "We wanted them to think positively about the new business process, so we wanted to make it as easy as possible for them to meet," Plumlee says. "We got very good feedback. People said thanks for letting us do it that way."

Face Off
Controller Desmond Mayo uses videoconferencing to manage his far-flung team, plan the 2002 budget, manage contracts, and coordinate audits. From his office in Anchorage, Mayo uses a personal system to meet with business managers and others in Fairbanks and Valdez. "If you're just on a voice call, you're not using everything God gave you," he says.

With videoconferencing, "you can see whether the person is focused, if they look perky or sick. If their desk is buried, you get the idea they are overwhelmed and you're giving them too much to do," Mayo explains.

Alyeska's controller also relies on videoconferencing to see potential distractions at remote locations. "I can see if somebody keeps coming in the doorway trying to get their attention for something that's more urgent. With video, you can pick up a lot more information." However, Mayo notes that videoconferencing is most effective for shorter meetings. For daylong ones, Mayo and his team get together face-to-face.

Mayo supports the increased use of videoconferencing to slash costs. He says once the fiber comes back on line, videoconferencing will save Alyeska more than half a million dollars per year in travel expenses alone. He expects all managers to ultimately use personal videoconferencing. "Videoconferencing will be the norm. Speaker phones will be like old phonographs."

Videoconferencing fits nicely into Alyeska's overall IT objectives. These include installing networked intelligent devices along the pipeline. The devices measure key attributes, such as the roundness of the pipeline and the thickness of its walls. "When you put the networked intelligent devices together with videoconferencing, you end up with the ability to get the same job done with fewer people," says CIO Erv Barnes.

In the meantime, analog satellite and digital microwave are failing to provide the bandwidth Alyeska needs to integrate videoconferencing throughout its operations. The key is to negotiate a new contract with a fiber provider. "It's imminent," says Barnes. "I've been working on the process of restoring the fiber. Prices have changed. When all is said and done, we will have bandwidth beyond what we thought we'd have when we started this process."

And while the company can already chalk up savings in travel costs and time, the bigger videoconferencing result lies ahead: The reduction in maintenance costs and a boost in operations efficiency along the 800 miles of the Alaska Pipeline.

Evan Rosen is author of Personal Videoconferencing (Manning/Prentice Hall).