social business: frameworks for next-gen organizational structure | enterprise 2.0 summit 2014...

Social Business:Frameworks for Next-Generation Organizational

Structure

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IntroductionDion Hinchcliffe

• Chief Strategy Officer• http://dachisgroup.com

• mailto:dion.hinchcliffe@dachisgroup.com

• ZDNet’s Enterprise Web 2.0• http://blogs.zdnet.com/Hinchcliffe

• InformationWeek’s Social Business By Design• http://informationweek.com/thebrainyard

• : @dhinchcliffe

Spring 2012

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Getter better with #socbiz

• Social business has matured considerably in the last 5 years

• We’ve learned a lot about what makes it successful

• But those lessons are not very well captured and codified yet

• How can we better build on the investments and wins of those that have come before us?

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First, Where Are We Today with #SocBiz?

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We’ve learned that extensively social organizations get outsized benefits

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Source: McKinsey Web 2.0 Survey

Only fully social organizations can tap into the $1.3 trillion social business opportunity

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But we still have many challenges

• 96% of internal and external social business efforts are not connected

- Source:

• Yet that’s where the most ROI is, by far

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Social engagement is...part of a single continuum...one unified ecosystem

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Social Businessenterprise ecosystem

customers +world

business partners

workers

SocialInnovation Crowdsourcing

Social CRM

Social Workforce

Social MarketingCustomer Communities

integrated vision

intra

net

extra

net

Inte

rnet

The Lesson:

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We’ve also learned that social business cannot be isolated from work

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What breakthroughs are enabling results?

Fast Data Big Analytics Deep Insight

IncreasingAge & Maturity

Big Data: The Moving Parts

terabytes petabytes exabytes zettabytes

the amount of data stored by the average company today

the growth of data will be exponential for the foreseeable future

MapReduce

Hadoop

kdb

Vertica

Netezza

Esper

Greenplum

ECL Teradata

Hive

MATLAB

SciPy

SAS

Mahout

Revolution R

SPSS AMPL

network analysis

predictive modeling

simulation

visualization

unsupervised learning

social media analytics

sentiment analysis

BPO BI

Business Objectives

From http://blogs.zdnet.com/Hinchcliffe

ETL

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A difficult industry lesson:We must create #socbiz org structures to engage at scale

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But do we need blueprints to get there?

• Do they make sure we don’t forget what’s most important?

- To leverage everyone’s lessons learned?

- To let the network do the work- To be the conduit and co-shaper of

the outcomes- To cultivate and wield social capital• Can social business meet our

expectations if it only delivers what is planned?

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Perhaps that not even the right question

• Can we apply #socbiz frameworks broadly to- Most industries?- Most geographies?- Most corporate cultures?• Will they work most of the time?• What will they provide us?- Lower risk?- Faster results?- Better results?- Is there any evidence of this?• Or do they lock us into what has only happened

before?

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How Firms are Maturing Social Business Capabilities

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1 -- STRATEGIC LISTENING

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2 --LEARNING TO FILTER AND FIND

Business Relevancy

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Understand the Business Context & Priorityof Relevant Conversations

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3 -- ANALYZING FOR OPPORTUNITIES

® 2010 Confidential and Proprietary

T-Mobile wanted to get out ahead of customer defections to other carriers. They needed an accurate and scalable source of information. They looked to social media.The Story:

The Results:The firm integrated big data across their IT systems, using near real-time the analysis of 33M customer data records, web logs, billing data and social media information. The result: The company was able to cut customer defections in half in a single quarter.

Source: Financial Times

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Cut customer defections in half in 90 days.

Data-Driven Engagement: A High-Impact Example

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4 -- MOBILIZING ADVOCATES

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Advocate programs are a major new element of org structure

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5 -- TRANSFORMING FOR ENGAGEMENT

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Incremental change means incremental results.

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Better organization for Social Business

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6 -- PROCESSES THAT ARE SCALED

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Org structures for scaling “working out loud”

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BeginOpen Work

RequestParticipation

Create InitialWork Seed

and/or

Open Work InitiatorLegend Community Participant

Make DirectContribution

Discuss OpenWork Effort

Co-Curate OpenWork Effort

CommunityManagement

Start

FinishEnd OpenWork Effort

Definitions

Open WorkA social business work process where anyone can contribute. You choose the boundaries of the community.

Co-CurationCommunity-based decisions on the best contributions to integrate into the ultimate open work effort.

Community ManagementThe process of 1) drawing in the participants, 2) managing their engagement, 3) enforcing standards, and 4) eliciting their participation.

This community management, but what else?

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7 -- CLOSED LOOP ENGAGEMENT PROCESSES

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8 -- DISRUPTING THE COMPETITION

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Usually by using #socbiz to solve long-standing business problems

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Do we need frameworks to reach the next-gen org?

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If so, do we have what we need?

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And what is a framework, really?

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It’s a pre-built approach with holes cut out for the details of your business

points ofcustomizability

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There have been frameworks from the start

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Podularity

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Social Business Architecture Framework

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How about community management?

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How about a technical approach?

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Can we even change our DNA with a plan?

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What if frameworks aren’t necessarily the best approach?• What if things like heuristics are?- One of the reasons we went with the 10

tenets in #SocBiz By Design• What if we really need updated

management theory instead?• Can a framework ever really have

everything we need to succeed?

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The Ten Tenets of Social Business

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Because if we forget what makes social business special...

• Community-led and open business processes

• Emergent and self-organizing outcomes

• More transparency, more available knowledge

• Better engagement, everywhere

• High-scale and cost effective results

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...then there is no point

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There is a broad pattern in frameworks for next-gen orgs emerging however...

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• Decentralization• User-control• Need to cope with

constant change• Adaptive processes• Local autonomy• Sustainable

transformation

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Functional next-gen frameworks seem to be most effective

• Specializing in a specific capability

- Marketing and sales- Supply chain (especially exception

handling)- Project management- Customer care- Product innovation- Community management- Advocacy• Implication: A custom framework

of proven functional frameworks seems to be best

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In the end, what most organizations need...

• Is guidance and a way to cross check their journey• To build on the shoulders of those that came

before• And to make sure they haven’t forgotten anything- Especially fundamental principles• In other words...

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So most orgs end up building their own

And mostly they are relatively informal.

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But the best ones do it with their community

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This is what most successful next-gen orgs are doing

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The full story is in Social Business by Design

• Published May, 2012• From John Wiley & Sons• The definitive management

strategy guide and handbook on social business.

• Based on real-world experience from nearly 100 high-impact examples.

• The most complete and actionable statement on social business and why it’s strategically vital.

• Recently #1 in Amazon’s Hot New Releases

• Companion Web site at

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http://socialbusinessbydesign.com