Recently in Enterprise 2.0 Category

The University of Massachusetts Dartmouth Center for Marketing Research has recently released research on the use of social media by the Inc 500, which are the 500 fastest growing privately owned companies in the US as ranked by Inc. magazine. This is one of the first longitudinal studies, showing changes in adoption of social media tools from one year ago. The topline results are shown below.

The researchers point to the significantly higher usage of social media by these companies compared to the Fortune 500. A few thoughts on this point and the research findings generally:

Fast growth vs large companies. Fast growing companies by necessity are open to new tools and approaches, and tend to have a culture of adoption and innovation, meaning they’re more likely to experiment with social media tools. There are no studies I’m aware of comparing growth rates of companies and their use of social media, and the causality would be very difficult to unpick, but I believe that consistent rapid growth will be hard to achieve without social media tools to facilitate effective collaboration in the organization.

The UK Chartered Institute of Personnel and Development has recently launched a discussion paper titled Web 2.0 and human resources, designed to help HR professionals to understand what Web 2.0 is and to contribute to organization’s activities in the space.

The paper is built around the key elements of my Web 2.0 Framework, which they nicely attribute me for, though also brings in a number of new elements, and wraps up with three case studies, including Pfizer’s Pfizerpedia, UK government departments’ use of forums, and T-mobile’s use of social networks for recruitment.

As I see and work with many organizations grappling with how to respond to and take advantage of Web 2.0, one of the challenges is that there is no one obvious place in the organization where these initiatives should reside. IT, HR, marketing, strategy, risk management and other functions all need to be involved, and the reality is usually none of them individually have the capabilities to successfully drive the full breadth of the potential across the firm. In successful organizations, often individuals who implicitly understand the issues help to define activities, and very importantly communicate across the wide variety of stakeholders.

Jay Cross, who has been on the leading edge of learning for well over a decade, will be running one-day workshops on Making Informal Learning Work in Melbourne on 17 June and Sydney on 19 June. Jay has been a leading light of elearning since the outset, was CEO of eLearning Forum for five years, and has more recently been driving the informal learning movement, recently publishing a book titled Informal Learning: Rediscovering the Natural Pathways That Inspire Innovation and Performance, in which he says that 'Most corporations invest their training budget where it will have the least impact.' I’m sure these will be great workshops (but don’t overlook our Top 100 Australian Web 2.0 Applications Launch Event on the same day as Jay’s Sydney workshop :-) )

I first met Jay many years ago, probably when we were both speakers at KMWorld, and we’ve kept in touch and regularly bounced ideas around. He is one of a handful of people in the world who are consistently pushing learning into new spaces. I still refer to his ideas on workflow learning, while he is now integrating the lessons of Web 2.0 into how organizations support learning.

Jay and I will catch up for a drink on the evening of 19th – I may post details here for others to join us if they’re interested.

I have long been interested in how collaboration technologies are applied in financial services, having come from a career largely at Merrill Lynch and Thomson Financial, and spent much time consulting to the instittutional financial services sector.

A few years ago now I ran the Collaboration in Financial Services conferences in New York and London, and wrote a white paper on How Collaborative Technologies are Transforming Financial Services. Since then I’ve been heavily involved in the Web 2.0 and Enterprise 2.0 spaces, and I’m finding that these are extremely relevant to the financial services sector.

I will be doing the opening keynote at this year's annual Financial Services Technology forum on Enterprise & Web 2.0 for Financial Services in Sydney on 29 May. In my presentation I will look at the big picture of the history and relevance of these technologies in the sector, and drawing on my recent work helping organizations with the governance issues of Enterprise 2.0.

Financial services are certainly very diverse, however many of the sectors within it handily illustrate the themes I have been discussing for some time: there is a deep layer of highly process-driven work, supplemented by a layer of connecting expertise to make highly time-sensitive decisions. Enterprise 2.0 technologies and approaches are outstanding in supporting the latter, which is where there is the most potential for competitive differentiation - which can be very fleeting in the world of money.

I’ll provide more details later on what I cover in my keynote.

Here is an old (November 2, 2007) interview I did on SkyBusiness about social networks, examining both the industry landscape and how social networks can be valuable inside organizations. What I like best about this is that for much of the interview they had up a banner reading “Facebook And Other Social Networking Sites Can Be Beneficial For Corporations”, a message that business audiences, especially at the time, hadn’t heard much before.

Some of the things I discuss in the interview:
* The role of advertising networks in social networks
* The upcoming launch of Google’s Open Social and what it means for the sector
* The value to organizations of encouraging strong social networks
* Examples of companies using Facebook and other social networks internally
* How Enterprise 2.0 takes social media tools to apply to organizational productivity

Today I spoke at the Walkley Public Affairs conference, organized by the MEAA, the peak body representing workers in the Australian media industry. I spoke on the Enterprise 2.0 panel, running through many of the issues I've raised on the Enterprise 2.0 Forum blog.

Here are a few summarized comments and reflections on what I heard while I was at the event from late morning to the end of the first day.

As I walked in, Sam Mostyn of IAG was saying, reflecting on what she'd seen at the insurer, that 'what builds loyalty and commitment is trust'. That is a fundamentally important point. Corporate loyalty is evanescent today, particularly with younger workers. The only potential source of loyalty is trusting your employees. Not trusting them automatically results in zero loyalty. This is deeply relevant to the issue of blocking or allowing social networks in the enterprise.

On the next panel, Mark Pesce commented that social networks in Australia are extremely shallow. Outrageous news travels very fast. At the Future of Journalism conference comments that Roy Greenslade made about Andrew Jaspan, editor of The Age, were immediately heard. Messages propagate ubiquitously, in this case enabled by journalists in the audience live-blogging the event. Those who were interested in what Greenslade said heard about it almost instantaneously. Mark describes Twitter as his twenty-first century brain trust, extending his capabilities by giving him access to many with complementary knowledge. He describes this as 'hyperempowerment'.

I recently did the opening keynote on The Future of Business at the Tandberg Summit 2008, which brings together the clients, distributors and partners of the global videoconferencing firm, and stayed for most of the first day. I found it extremely interesting being among a large people who were concerned with implementing video in organizations, as these are almost entirely different people to those concerned with Enterprise 2.0 approaches, though their objectives and issues are very similar. More thoughts on that in a moment. It’s probably worth setting the scene with a review of the conference by CRN Magazine, titled Tandberg Summit 2008: Video killed the radio star. The entire article is worth a read – I’ve excerpted below the section covering my presentation:

A highlight of the conference was a keynote by Ross Dawson, chairman of Future Exploration Network, who provided insight into the dynamics within an organisation and the video communications market. Referring to internal business practices, Dawson stressed the importance of collaboration between employees and identifying personal qualities that may help foster growth.

A rather popular topic these days is the risks to organizations of using social networks. An article in today’s Australian Financial Review examines the issue in detail, with an interview of me (excerpted below) hopefully balancing out the other opinions expressed in the article. Unfortunately the way I was quoted seemed to overemphasize my cautions relative to the benefits I discussed.

I am finding it very tiresome to continuously hear security consultants and vendors with big PR budgets go on endlessly about risks, without ever mentioning business benefits. This drone gets into executives’ heads, and as a result discussion of social networks – and many other potentially valuable business tools – focuses on risk and not benefit.

My Enterprise 2.0 Governance Framework explicitly addresses risks, benefits, and actions. It is critical to acknowledge, understand, and minimize risk, but executives are equally culpable if they ignore business value as if they ignore risk.

In the interview with the journalist I basically said that transparency increases business value, however providing transparency must be done intelligently and strategically. The danger is that executives become frightened of the risks, so unintelligently don’t provide transparency, and thus negatively impact the company’s value. Effective business leaders understand that in a complex world business value requires a highly nuanced approach, rather than the black and white view of organizations that is so frequently peddled. Excerpts from the article are below:

When one of Australia’s leading evangelists for Enterprise 2.0 acknowledges “there are some real dangers in an increasingly transparent world”, it’s worth listening.

Ross Dawson, chairman of the Future Exploration Network, is a great fan of online collaboration and communication, but admits there are limits. While research has revealed “a positive impact on stock prices where there is more transparency”, he warns that companies which transparently reported their customers’ private information, for example, would quickly see the opposite effect on share prices.

Some more media coverage of the Enterprise 2.0 Executive Forum (also see previous media coverage of Enterprise 2.0 Executive Forum):

Online Banking Review did a review of Enterprise 2.0 Executive Forum titled Don’t Be Afraid of Web 2.0. It begins:

Large corporates are struggling to relinquish the control they must sacrifice in order to successfully leverage Enterprise 2.0 applications. That’s the consensus from a recent forum on Enterprise 2.0 held by the Future Exploration Network.

In addition, the Social Media Show recently did a podcast interview of Peter Evan-Greenwood of Capgemini, who spoke at the Forum. Des Walsh's conversation with Peter covers:
• Google Apps
• cultural change issues that come up with the introduction of Web 2.0 technology in the enterprise
• the emerging role of Enterprise 2.0 in the government sector
• how the technology helps companies get measurable business value from their knowledge work processes.

In organizational network analysis circles, an MIT study on how people find information is often cited. The research showed that in an organization, people were five times more likely to go to people than to databases to get answers to their questions. So knowledge workers’ productivity is strongly related to their social networks, in terms of who they know who can help them, and whether there is sufficient trust and reciprocal value in the relationship that they get a response.

It is far more efficient and effective for people to be able to identify the most likely people to help them rather than barraging everyone with the one query and hoping that someone will respond. The early knowledge management systems were largely based on broadcast systems within organizations to be get help on particularly issues. In many cases companies used broadcast emails to get help.

People’s email inboxes have long been so overloaded that broadcast emails are rarely welcome. Certainly the highest leverage approaches to connecting knowledge effectively are in enhancing organizational networks, in terms of how well people know each others’ expertise and have strong social bonds. However now that a whole layer of new communication tools has emerged, there are new possibilities. Twitter in particular is already used within communities to ask questions and get ready responses, and many Twitterers will attest they have got great answers to pressing questions. So the question arises as to whether Twitter should be used as an organizational tool.

On week I delivered a keynote in London on behalf of LexisNexis to a select group of senior executives of large professional services firms. The broad theme was the future of professional services and in particular practice management. In my speech I emphasized the network perspective on professional firms.

In an economy where value is increasingly based on deep professional knowledge and relationships, it is increasingly valid to ask why professional firms exist. Why don’t professionals practice as individuals, and collaborate with other professionals simply as client situations require it? In fact there is currently a significant shift to professionals working independently or in very small groups. Of course there are a number of good answers to this. Most importantly, the existence of professional firms should facilitate different expertise to be brought together seamlessly to address clients’ issues and create uniquely valuable offerings.

However this is only valid if the firm is well connected internally. Professionals need to be aware of each others’ expertise, and actively bring that together in teams to meet client needs. I have described some of the key issues underlying that in my presentation Tapping Networks to Bring the Best of the Firm to Clients that I did at the Network Roundtable conference last November.

On Friday I caught up with Euan Semple in London. It was great to meet, as we’d just conversed over email, voice, and video up until then, and of course had him present over video at our Enterprise 2.0 Executive Forum in February.

It recently occurred to me that when I catch up with interesting people, I should make a brief video at the end of the meeting to summarize the most intriguing ideas that had come up in the course of our conversation. This is the first time I have tried it, though I hope to do this a lot more regularly now. One of the biggest benefits is capturing for myself the most interesting insights from the conversations I have. It’s also great to share these with others.

In this case I did a very poor job of making the video. First the tape ran out in the middle of the conversation. Then I rewound the tape, and ended up going over the beginning of the earlier conversation. Hopefully I have learned my lesson from this – there are still some very interesting points made by Euan in the video. Forgive the discontinuities.

There has been some great media coverage of the Enterprise 2.0 Executive Forum. Below is a summary of some of the articles and media that are available online. It is very encouraging that the mainstream media is not only taking up these themes, but giving it such positive coverage - the articles are well worth a read.

Sydney Morning Herald: Facebook up to it
Excellent review of the event and the rise of Enterprise 2.0

Smartcompany: Web 2.0: Our winning ways
Interview with Ross Dawson on the state of Enterprise 2.0

MIS The Scoop podcast: Australian Enterprise 2.0 lessons revealed
Podcast of excerpts from the Enterprise 2.0 case studies presented at the Executive Forum

Internal Comms Hub: Enterprise 2.0 should be harnessed as a strategic asset
Overview of the Enterprise 2.0 Executive Forum and key lessons

Computerworld: Janssen-Cilag dances Enterprise 2.0 jig
Review of Janssen-Cilag case study presented at the Executive Forum

The Financial Standard: Wikis may be working for Westpac
Review of Westpac case study presented at the Executive Forum

Metaverse Journal: Enterprise 2.0 forum - Business IS getting it
Review of Enterprise 2.0 Executive Forum

NineMSN: Social networking sites help boost business: expert
Ross Dawson’s on the value of social networking for organizations

Social Media Show: Podcast interviews with David Holloway and Stephen Collins

[UPDATE]
The Australian: Business yet to harness Web 2.0
Review of Web 2.0 in Australia, quoting speakers at Enterprise 2.0 Executive Forum

An article in the Sydney Morning Herald titled Facebook up to it by doyen technology journalist Graeme Philipson gives a great review of the Enterprise 2.0 Executive Forum from last week, excerpted below.

Until now, Web 2.0 applications have mostly affected individuals. Companies and government organisations have largely retained more traditional methods of communication. The primary collaborative technology for most organisations in the modern world has become email, which is very much a Web 1.0, or first generation, internet application.

That is now changing. Web 2.0 applications are increasingly finding their way into the enterprise. This phenomenon has, inevitably, been dubbed Enterprise 2.0. That term was invented last year by Harvard Business School professor Andrew McAfee, who has emerged as something of an international authority on the subject. Last week I heard a remarkable presentation by Professor McAfee on the state of play with Enterprise 2.0 worldwide. His talk was beamed in via Skype from Orlando, Florida, where he was attending an enterprise search conference. He spoke to 200 of us assembled in a conference room in Sydney's Luna Park to discuss Enterprise 2.0 in Australia.

…

The event I attended where we heard Professor McAfee's words of wisdom was the grandly named "Enterprise 2.0 Executive Forum", run by Sydney company Future Enterprise Network (FEN). FEN (futureexploration.net) is run by Ross Dawson, who has become one of Australia's leading internet gurus in recent years. He also runs regular events on the future of media.

In addition to the insights from Andrew McAfee, the article covers the points raised by Euan Semple, who drove the BBC’s move into social media, and the many real live practitioners of Enterprise 2.0 who are in Sydney. It discusses the reluctance by some to embrace these technologies, but also suggests that this shift is inevitable. This is probably the best one-stop review of the event – have a read!

James Gardner, head of innovation at Lloyds TSB, writes consistently on his blog Bankervision, disclosing some of the key issues involved in innovating in a major bank. In a recent post New ways of collaborating at the bank, James writes about how Lloyds TSB is piloting social media such as blogs. Some excerpts from his below show how blogging can change how corporations work.

We have one blog, for example, that documents the trials and tribulations of a member of the team that is implementing the social media pilot for us. Along the way there have been a couple of roadbumps, of course, and this particular blog offers the opinions of the team on the ground as things have gone wrong. It is a very positive and welcome read. Quite often, one doesn't have a deep understanding of the real issues that caused the problem in the first place. Sometimes, you want the details without all the unpeeling that goes on before you can get them. This is a blog that does that.

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