No subject

Sun Oct 20 16:01:18 UTC 2013

and you should also read the JISC studies of the "V&A Images" line of busin=
ess (resources #8 and #9 on the wiki.)

The bottom line is that no GLAM that I've heard about has done an honest ac=
counting of the actual cost-to-market for their digital asset licensing/sal=
es activities (though the V&A comes close, and their realism is laudable). =
Simon Tanner nailed it in 2004: "Everyone interviewed wants to recoup costs=
 but almost none claimed to actually achieve or expected to achieve this=85=
Even those services that claimed to recoup full costs generally did not acc=
ount fully for salary costs or overhead expenses." (p. 35)

The accounting for costs and overhead is key - -  I've lost track of how ma=
ny GLAM image managers I've spoken with who said that their image sales/lic=
ensing activities were profitable, but who defined "profitable" as earning =
more in revenue, in some years, than they pay out in salary to the person r=
unning the rights-and-repro office: no accounting for office space rent; no=
 utilities; no bandwidth; no computers or software; no concept of opportuni=
ty cost.

An executive here has likened this business model to a child's lemonade sta=
nd: mom and dad pay for the lemonade and the child gets to keep 100% of the=
 revenue as profit. I wish I could run a business like that!

And I'll add, because I'm feeling testy this morning, that GLAM's do all ki=
nds of wildly expensive things, without a cost/benefit analysis, simply bec=
ause they feel like doing them: exhibitions, research, publications, educat=
ion programs, providing computers and phones and heat and light for the sta=
ff. . . - - I know one organization that's investing $400m in a new buildin=
g without anything even resembling a cost-benefit analysis. Projects should=
 have goals and outcomes, they should be managed at the highest degrees of =
competence, but open access initiatives shouldn't be the only GLAM initiati=
ves that are burdened with creating and defending a cost/benefit projection=
.

;)

From: <Harkema>, Craig <craig.harkema at usask.ca<mailto:craig.harkema at usask.c=
a>>
Date: Tuesday, October 8, 2013 9:50 AM
To: Merete Sanderhoff <merete.sanderhoff at smk.dk<mailto:merete.sanderhoff at sm=
k.dk>>
Cc: "open-glam at lists.okfn.org<mailto:open-glam at lists.okfn.org>" <open-glam@=
lists.okfn.org<mailto:open-glam at lists.okfn.org>>, David Farneth <DFarneth at g=
etty.edu<mailto:DFarneth at getty.edu>>
Subject: Re: [OpenGLAM] cost benefit analysis of open digital content

Very helpful. Thanks so much everyone! I'll let you know if I dig up anythi=
ng new.

Cheers,
Craig
________________________________

[cid:image001.jpg at 01CDD6B6.8499DB40] Craig Harkema
Digital Projects Librarian
University Library, University of Saskatchewan
Tel: (306) 966-5980 | saskhistoryonline.ca<https://urldefense.proofpoint.co=
m/v1/url?u=3Dhttp://saskhistoryonline.ca&k=3DdiZKtJPqj4jWksRIF4bjkw%3D%3D%0=
A&r=3DOrleOIb4%2FRXNkzweNOIBMA%3D%3D%0A&m=3DEnARfO%2FYjhJKz2XnKtLMFKc%2B2BO=
1ztdcoWnz9lTYOy0%3D%0A&s=3D3861f7cdaead1e5d8fa4cc325856fdeeb214d5ab549ac389=
4bde42ef829a818b> | twitter.com/saskhistory<https://urldefense.proofpoint.c=
om/v1/url?u=3Dhttp://twitter.com/saskhistory&k=3DdiZKtJPqj4jWksRIF4bjkw%3D%=
3D%0A&r=3DOrleOIb4%2FRXNkzweNOIBMA%3D%3D%0A&m=3DEnARfO%2FYjhJKz2XnKtLMFKc%2=
B2BO1ztdcoWnz9lTYOy0%3D%0A&s=3D18f8ac0252810f5ca548c4b93fa3d23d9b3fafb643bc=
617d5a110d967aaa44f1>

On 2013-10-08, at 1:47 AM, Merete Sanderhoff wrote:

Great resources shared here!

Another interesting study is Kristin Kelley's survey from this year of 11 A=
merican and British museums who have provided open access and have concrete=
 evidence to share of how that affects things like revenue
http://www.clir.org/pubs/reports/pub157/pub157.pdf<https://urldefense.proof=
point.com/v1/url?u=3Dhttp://www.clir.org/pubs/reports/pub157/pub157.pdf&k=
=3DdiZKtJPqj4jWksRIF4bjkw%3D%3D%0A&r=3DOrleOIb4%2FRXNkzweNOIBMA%3D%3D%0A&m=
=3DEnARfO%2FYjhJKz2XnKtLMFKc%2B2BO1ztdcoWnz9lTYOy0%3D%0A&s=3D23d0999ed801bf=
005e571d8785fb72ad913544cca638a784d9484185939d95d0>

Michael Edson keeps an incredibly valuable list of references to this topic=
 on the Smithsonian Web and New Media Strategy wiki (which is where I found=
 the Kelly report) http://smithsonian-webstrategy.wikispaces.com/Public+Dom=
ain+and+Image+Sales+References

Cheers,
Merete

-----Oprindelig meddelelse-----
Fra: open-glam-bounces at lists.okfn.org<mailto:open-glam-bounces at lists.okfn.o=
rg> [mailto:open-glam-bounces at lists.okfn.org] P=E5 vegne af Proffitt,Merril=
ee
Sendt: 7. oktober 2013 23:54
Til: David Farneth; open-glam at lists.okfn.org<mailto:open-glam at lists.okfn.or=
g>; Craig Harkema
Emne: Re: [OpenGLAM] cost benefit analysis of open digital content

Here's another one in the "no one gets rich" category, although probably no=
t exactly what you are looking for.

Erway, Ricky. 2008. Seeking Sustainability. Report produced by OCLC Program=
s and Research
http://www.oclc.org/content/dam/research/publications/library/2008/2008-03.=
pdf

You might also contact Simon Tanner and see if his research has been update=
d at all. I believe he still tracks this area.

Merrilee Proffitt, Senior Program Officer
OCLC Research

-----Original Message-----
From: open-glam-bounces at lists.okfn.org<mailto:open-glam-bounces at lists.okfn.=
org> [mailto:open-glam-bounces at lists.okfn.org] On Behalf Of David Farneth
Sent: Monday, October 07, 2013 1:50 PM
To: open-glam at lists.okfn.org<mailto:open-glam at lists.okfn.org>; Craig Harkem=
a
Subject: Re: [OpenGLAM] cost benefit analysis of open digital content

I look forward to seeing if anyone can point to some current cost analysis.

This older article by Ken Hamma provides some historical context.  See, esp=
ecially, footnote 6.
http://www.dlib.org/dlib/november05/hamma/11hamma.html#!

David

David Farneth
Assistant Director
The Getty Research Institute
1200 Getty Center Drive, Suite 1100
Los Angeles, CA  90049-1688

office: (310) 440-7076
mobile: (310) 270-5280
dfarneth at getty.edu<mailto:dfarneth at getty.edu>
Assistant: Cassandra Heiser: (310) 440-7433

"Harkema, Craig" <craig.harkema at usask.ca<mailto:craig.harkema at usask.ca>> 10=
/7/2013 1:27 PM >>>
Hi there,

I'm wondering if any of you have come across anything regarding the cost be=
nefit of opening up digital content? In other words, I'm curious about just=
 how much organization make off of charging for high res files, for example=
, versus the accounting, general overhead, rescanning, and so forth that is=
 required? Which is not to mention any of the barriers to use charging fees=
 such as this imposes.

Craig
________________________________

[cid:image001.jpg at 01CDD6B6.8499DB40<mailto:image001.jpg at 01CDD6B6.8499DB40>]=
 Craig Harkema Digital Projects Librarian University Library, University of=
 Saskatchewan
Tel: (306) 966-5980 | saskhistoryonline.ca<http://saskhistoryonline.ca> | t=
witter.com/saskhistory<http://twitter.com/saskhistory>

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