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2 May 2011 As a speaker at the CIO Forum & Executive IT Summit this past week, I spent two days in focused conversations with enterprise CIOs. The summit is co-sponsored by SIM, TEN and ITEEX and is a relatively intimate setting as most attendees are CIOs, and no press is allowed. We spoke about what was top of mind for CIOs and their experiences with social business. It served as an excellent “current state of the CIO,” and I have some surprising takeaways to share. I’ll also offer a surprising prediction and social business guidance to CIOs.
Having advised CEOs, CIOs, COOs and CMOs on adopting disruptive technology at various stages of my career, I have a broad perspective of the enterprise and executive roles. From the mid 1990s through 2006, I focused on enterprise software and corporate strategy. In 2006, I launched CSRA to advise enterprises on social business strategy, and I’ve been working with CMOs, which has been personally rewarding as I have also led marketing several times in my career. For context, here are a few things that most executives don’t yet appreciate about social business.
23 March 2011 Web 3.0 Key Concepts and Importance—Mashing up with Privacy
In addition to being the founder of LinkedIn, Reid Hoffman is a Valley insider with rich insight into technology trends, markets and building companies. His main message in this talk at South by Southwest 2011 was that the future was bearing down on us, and he prophesied that it would “arrive sooner and be stranger than we think.”
- He painted the context for his theme, “Web 3.0 as data,” with a simple timeline:
4 March 2011 Curmudgeonly Looking into the Past to Divine the Future—That Nagging Privacy Issue—Debunking the Elephant
The Big Switch is a valuable book that reflects what has become Nick Carr’s trademark role, heckling IT and Web enthusiasts, albeit from good seats. Carr seems to relish his role as “the fly in the ointment” of the idealistic IT-enabled world that Web missionaries espouse. Although this book has shortcomings, I recommend it for two reasons. First, Carr makes a convincing and useful argument that the “electrification” of business and society (the Edison part) has valuable lessons for the “computerization” transformation of business and society (the Google part) that is currently unfolding. This parallel provides context to think about some of the disruptions around your business, society and career. Second, Carr raises serious questions about possible privacy implications of computerization. He palpably weighs in on the dark side and seems to want the world to change course from the “googlization of life.” If you haven’t read The Long Tail, I would read these books in proximity because they are very complementary and both quick, important reads.
As usual, I will outline the book’s chapters before giving my interpretation and insights in Analysis and Conclusions.
12 February 2011 SocialTech Grows Up—Relationship the Foundation of Business Success—Digital Clodhoppers Become Sore Thumbs
2011 will mark a turning point in the adoption of digital social technologies because the experimentation phase is drawing to a close, and stakeholder expectations are increasing. Organizations and people will no longer gain attention by executing badly. At the enterprise level, participation will wane in venues and initiatives that have no business strategy, focus, content strategy and commitment. Paying inexperienced people or agencies to “share” snappy content will expose brands as digital clodhoppers and push customers away. Individuals will also have to improve their game and focus on the most relevant people in their networks. Stop sending default invitations on LinkedIn. Proactively support people whom you respect and trust the most. The theme is determining and executing on strategy, focus and commitment.
In 2011, the bar to attract and hold attention will be higher, which will present organizations with a new threat: when participation falls, some executives will conclude that “social media” was only hype anyway, and they will curtail investments. This reaction will create opportunity for people who understand what works and why. At the same time, stakeholders are more savvy and responsive when you show sincere interest in them, which will result in stronger relationships and business results when your interactions are based on a sound strategy.
Continue reading Web 3.0 and Social Business—2011 Predictions & Recommendations
30 January 2011 Editor’s Choice of the Global Human Capital Journal—The Best Strategy, Tactics, Case Studies and Insights of 2010
Compared to its progenitors 2009 and 2008, 2010 was a relatively calm year because the amplitude of market gyrations was clearly less, and businesses began to find a new floor on which to build stakeholder expectations. Although I watched with high interest the unfolding drama in Europe, I didn’t have the time to conduct the research necessary to do a rigorous interpretation. I did publish a reflection in January, which is not included in this year in review. However, 2010 marked a major turning point in the adoption of social technologies: the recognition that analysis and strategy were necessary to achieve consistent results with social initiatives.
2010 Macro trends
Social has been in adolescence up through 2009-2010 in which “being on Facebook” was an end in itself, agencies produced vapid content and little interaction happened because people won’t interact when brands are talking at them and not listening. People feel it when a brand is interested in using social tools to promote itself (I call this “social media”). They also feel it when a brand is interested in building relationship, which is marked by active listening and responding, along with a relative absence of self-promotion. Brands that build relationship know that they don’t have to promote themselves if they are truly interested in people: people will promote them. However, this approach is future state for most companies.
Continue reading Year In Review—2010/Initial Glimmers of Social Business
6 January 2010 How Mass Collaboration Is Transforming Company and Culture—Mining Disruption’s Silver Lining
“We are flying into some turbulence, so please return to your seats and keep your seatbelts fastened while we try to find more favorable winds.”
As chronicled in the just-published Decade in Review 2000-2009, the twenty-first century is proving to be volatile and disruptive in every way, and 2010 will continue the trend. Three disruptive forces are converging: the relative value of the Industrial Economy continues to fall as overproduction reigns. Globalization is replete with extras that people at the head table didn’t order. Most imperceptibly yet poignantly, the emerging Knowledge Economy is digitizing communications and changing the economics of knowledge and relationships. Web 2.0 and social networks drive down the cost of communication, which accelerates volatility because when people talk, ideas change and lead to action, and digital conversations happens faster and less expensively. Social networks are rapidly making “the Web” human, thereby attracting an ever-larger portion of all human communications online. In 2009, adoption reached critical mass, ramping strongly among consumers, so many enterprises are following. The Web 1.0 adoption rhythm is very instructive.
Pervasive Web 2.0 also means reexamination or disruption of most areas of life, culture, society, government and business because social networks alter how many and what kind of relationships people have. The impact is similar to Ford’s production line, except it is more powerful: it scales relationships. Large organizations will remain in a profound state of turmoil because they were not built to withstand the volatility these forces are unleashing. Many Fortune 500 companies will be confronted with their survival, and some will not make it. Entire industries will consolidate over the next several years (automotive, airlines, banking, hotels, food, consumer goods…). Web communications mean we consume novelty far more quickly, which curtails product life cycles and leads to ultra-fast commoditization. Companies will require unprecedented innovation to even stay in place. New entrants around the world compete for customers and leverage their lower costs and better innovation processes. And Web 2.0 is still in the early stages of adoption.
This dynamism elevates opportunity and threat for executives and their organizations, so our focus here is to lay out probable milestones for 2010 to assist executives in business strategy and career planning for 2010 and beyond. First, I will lay out predictions, on which I’ll build for my 2010 recommendations. By the way, this follows Year in Review—2009/Social Networking Gains Legs on Heavy Seas and Decade in Review 2000-2009/The Rise of Web 2.0, the New Pervasive Human Space.
2 January 2010 Relationships on Demand Are Changing Economics—The Emergence of the Web as Creative Destroyer of the Industrial Economy
We need to upgrade the turntable again! When I emerged from undergrad in the eighties, the economy was rotating at 16rpm, which we doubled in the nineties with Web 1.0 to 33rpm. The 2000s had us grooving at 78rpm. Even though one part of me says that this metaphor is poorly chosen because it’s retro, it also reflects another key trend: atomization and mashing up.
The Web is a communications revolution that speeds the consumption of novelty and its economic value, so it is destroying the Industrial Economy’s main value mechanism: value via efficiency and long product life cycles. During the 21st century’s first decade, the overriding trend is that society and markets in which executives have interest saw extensive disruption and change. That meant volatility. As I’ll discuss, this volatility will continue to accelerate because the transaction costs of communication are plummeting, which drives rapid iteration and change in all areas of human society. At the risk of sounding subjective, I believe this will probably be regarded as one of the most disruptive eras in history.
Continue reading Decade in Review 2000-2009/The Rise of Web 2.0, the New Pervasive Human Space
31 December 2009 Editor’s Choice of the Global Human Capital Journal—Behind the Curtain—The Best Strategy, Tactics, Case Studies and Insights of 2009
2009 may have been many things, but boring was not among them! To do it justice, I feel like I have to dock the ship, which has been sailing on turbulent seas, frothed with spellbinding sunrises, sharks, dead winds and tempests. Volatility and surprise have certainly been the watchwords among executives I’ve collaborated with this year, and all indications are that we should look for the same in 2010. However, as dramatic as the environment is, it is only the backdrop for the real story: Enterprise social networking has found its legs and is ramping strongly. Although still tentative, social network investments are becoming pervasive due to the exploding adoption among individuals—and the latter’s impact on markets and firms. As I have been writing since 2005, digital social networking represents unprecedented disruption, opportunity and risk, and I saw many of my predictions play out in 2009.
The 2009 Year in Review gives you the chance to come up to speed rapidly or fill in the holes in your understanding. My perspective comes from intense collaboration with exceptional pioneers of enterprise-focused social networking. Many of the articles come from client work and real situations I encountered this year. I have reviewed 2009′s articles, selected the best and wrapped them in a review and analysis to help you realize where we have been, so you can better plan where you want to go in 2010.
So, throw a log on the fire, pour yourself a nice glass, and let’s dive in.
27 November 2009 Ironically Self-contradictory Article Overlooks the Real Purpose of Digital Social Networks
Wednesday, the Wall Street Journal published What Facebook Can’t Give You, which chronicles the growth of the “Wednesday 10,” a professional networking group started in 1957 in Manhattan by William Safire. Established when members were in their 20s, the Wednesday 10 saw many of its members go on to become leading broadcasting executives, investment bankers and real estate moguls, and the point of the headlines is that “old fashioned” offline face to face networking is superior to online social networking.
This is another example of uninformed “criticism” of online social networks because it takes a mutually exclusive attitude toward offline and online social networking, a growing head-in-the-sand response to the disruption that the latter presents. Read on for a short review and discussion of how successful executives in the 21st century will use all modes of social networking to increase competitiveness through authentic relationships.
4 September 2009 Spats on the Road of Transformation—Backlash Right on Schedule
As the Web 2.0 Adoption Curve, 2009-2015 predicts, there will be a significant backlash against social networks during 2009-2010 because the market’s perceived value of social networks is much higher than its skill with the tools, and this will result in inflated expectations and disappointments. Most decision makers are distracted by social networks’ novelty and features, and they overlook the obvious, that social networks offer a quantum leap in productivity for developing and managing relationships.
The MSM (mainstream media) have at best an ambivalent relationship with social networks because the latter weaken their monopoly on influence and mass communications. Consequently, they face a double barrier in understanding social networks’ value proposition: 1) like the rest of the market, they require time to understand how they can best use social networks in meaningful ways and 2) since they perceive social networks as challengers, they are too ready to be dismissive. Executives will be well served to keep this in mind lest they be influenced into rejecting social networks’ promise too hastily.
To illustrate the point, I will comment on Facebook Exodus from the New York Times as an example of self-indulgent journalism that will add to the backlash. Expect a wave of such press in the coming months.
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Social Business Resources
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