Dear LPI Professionals, Sponsors and Partners:

On behalf of the Board of Directors of the Linux Professional Institute
please accept my best wishes for the coming year.  Your efforts in 2007
ensured the ongoing success and growth of LPI.  We look forward to
working with all of you toward greater achievements in 2008.


In early 2006, LPI established a strategic plan for stability,
innovation and growth. The work of ensuring organizational stability was
largely completed in 2007 allowing us to turn our attention to
innovative approaches in both our internal infrastructure and the larger
external forces that shape global IT certification.  We will continue to
focus on innovation in all we do, thus driving substantial program and
organizational growth in 2008


Innovation is not possible without a certain degree of program and
organizational stability.  This was achieved in the past year, on a
program level, through the introduction of our enterprise level LPIC-3
certification.  We also stabilized business development efforts through
our network of Area Operations Management.  Both efforts were the result
of a strong commitment to improving the organization to best serve the
industry.


LPI continues to champion industry adoption of Open Source technology
through our leadership in vendor independent skills measurement. In this
role, we know that creating a valuable program requires the ability to
harness the power of global contribution. Other industries understand
this concept as well. An interesting parallel to our approach is
demonstrated in a recently published study
<http://hbswk.hbs.edu/item/5760.html> that heralds a "new" form of
disruptive innovation (sometimes known as the orchestra model) which
focuses on organizational collaboration. In this model key development
efforts are not necessarily "outsourced" but rather distributed and
managed through a network of players that collaborate and partner to
create new offerings for the market. This collaborative model is best
exemplified on the global stage by the development of the Boeing
Dreamliner <http://hbswk.hbs.edu/item/5750.html> but is equally evident
in the day-to-day work of LPI. Much like the process of building the
Dreamliner, LPIC-3 was developed by a collaborative partnership with our
affiliate channel, several leading international IT companies and a
committed global network of professionals from the central core of Linux.


The associated benefits of this collaborative model (cost, capability
and contextual knowledge) are best demonstrated by the expansion in
LPI's business development channel. LPI supports the global workforce by
identifying organizations with pre-existing infrastructure and resources
and recruiting them to become part of our team. In this way, LPI is able
to set a global vision, yet focus on regional execution to ensure
program growth.  As a result , in 2007, LPI added approximately 100 LPI
Approved Training Partners and expanded our sales and marketing presence
to cover 15 additional countries.

Other evidence of collaborative partnerships we pursued this past year
include:

    *

      A first-time "LPI Day" of educational and networking events for
      alumni at a major IT event in Germany,

    *

      A region wide meeting of all Master Affiliates for knowledge
      sharing in EMEA

    *

      A Taiwanese version of LPIC-1 exams

    *

      Inclusion in a government educational program for Veterans in the
      USA.

    *

      All these successful activities were due to the initiative and
      hard work of committed and collaborative local partners.


This ethic of collaboration was also employed in significant activities
by LPI internationally: we actively pursued multinational IT
organizations to include our program amongst their pre-requisites for
their own professional designations--news of which we will be announcing
soon.  Furthermore, we collaborated with enterprise level organizations
to form the Information Technology Certification Council to ensure
industry-wide standards on exam security, program excellence, and
workforce development.  In so doing we have cemented our industry
reputation as the Linux and Open Source certification organization of
record.   In 2008 we will pursue this innovation model further by
embracing the four "pillars" of successful collaborative capabilities:
people, process, platforms, and programs:

People: Effective collaboration requires people with different skills. 
We have already begun this work by moving our Operations to Northern
California in the US where we will have greater access to a readily
available talent pool and exposure to Silicon Valley.  However, this
investment in people will be further enhanced by the development of a
new marketing task force within the LPI global network.

Process: LPI will continue to evolve our processes to ensure effective
collaboration.  An example this past year has been the EMEA
knowledge-sharing event--a process we will evolve for other regions.  In
addition, we will also look at innovative approaches to enhancing our
models of Computer-based and Paper-based test delivery.

Platforms: Collaborative organizations invest in tools, standards and
working methods that facilitate distributed work.  We will continue to
embrace such virtual collaborative tools in the coming year as Google
Apps, VOIP technologies, and improved reporting capabilities to
facilitate our work in the field.

Programs: LPI has learned important lessons on program development
through our unique exam development process.  We will apply these
"lessons learned" to other aspects of our business activities to find
new ways to develop adjacent business opportunities for both our
partners and LPI as a whole.

This coming year will provide an opportunity to build upon the
foundation we now have in place. I look forward to engaging with all of
you to continue on our course of innovation and growth!


Sincerely,

Jim

-- 
_____________________________

Jim Lacey
President and CEO
Linux Professional Institute
Sacramento Office
1024 Iron Point Rd.
Folsom, CA 95630
v: 916.357.6625
f: 916.357.6501
_____________________________



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