Changing the World of Work: Why Social is Broken and How to Fix It

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    30-Oct-2014

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Presentation deck from May 2014 Get Clarity webinar. In the webinar (available here:http://www.digitalclaritygroup.com/why-social-is-broken-and-how-to-fix-it/#recording) analyst Tim Walter provides an exclusive look at how social interactions are changing the not-so-distant future of work. Despite great enthusiasm and some positive results, enterprise social tools and practices have failed to make a significant impact in terms of implementations, adoption, regular use, or business results. In fact, enterprise social will continue to falter as long as the focus is on the tools and practices (i.e. the "build it and they will come" fallacy), or the benefits for the employees (i.e. the "it's all about the people" fallacy). After watching the webinar video, you'll learn how to course correct for enterprise social that works. Tim explains how and why the social business can flourish when it is used to address a fundamental shift in business conditions -- namely, the empowerment of consumers and the consequent need for all firms to master customer experience management (CEM).

Transcript

1. Tim Walters, Partner and Principal Analyst Mary Laplante, Vice President, Client Services 2. DCG helps business leaders navigate the digital transformation and create competitive advantage from disruption. 2 About Digital Clarity Group @tim_walters@just_clarity 3. 3@tim_walters@just_clarity Authored by: Jill Finger Gibson Marianne Kay Scott Liewehr Cathy McKnight Tim Walters, Ph.D. Tiffany Elliot Research and reports available for download at http://digitalclaritygroup.com 4. Create the companys value zone (Vineet Nayar) Companies in the top quartile of engagement had 50% higher total shareholder return. Each incremental % of employees who become engaged predicts incremental 0.6% growth in sales. (Aon Hewitt) 4@tim_walters@just_clarity 5. 5 6. 6 Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/ 7. 7 50 % 78 % 8% Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/ 8. 8 Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/ 9. 9 Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/ 10. 10 Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/ 11. When asked to rank their companys social business maturity on a scale of 1 to 10, more than half of respondents gave their company a score of 3 or below. Only 31% gave a rating of 4 to 6. Just 17% ranked their company at 7 or above. 11 Source: Social Business: Shifting Out Of First Gear Based on survey of 2545 executives in 99 countries and 25 industries. Note that the report defines social business to include consumer social sites (Facebook, LinkedIn, etc), internal social networks (e.g., Cisco Learning Network), enterprise social tools (e.g., Jive, Yammer, or custom built), and social-based data and marketing intelligence. 12. 77 percent of business and IT leaders say their companies are currently using social collaboration technologies 12 Source: Is enterprise social collaboration living up to its promise, May 2013. Survey of 1000 business leaders and 4000 employees. 13. 77 percent of business and IT leaders say their companies are currently using social collaboration technologies 82 percent of businesses currently using social collaboration tools want to use more of them in the future 13 Source: Is enterprise social collaboration living up to its promise, May 2013. Survey of 1000 business leaders and 4000 employees. 14. 77 percent of business and IT leaders say their companies are currently using social collaboration technologies 82 percent of businesses currently using social collaboration tools want to use more of them in the future The most widely used social technologies are Facebook (74%) and Twitter (51%) 14 Source: Is enterprise social collaboration living up to its promise, May 2013. Survey of 1000 business leaders and 4000 employees. 15. 77 percent of business and IT leaders say their companies are currently using social collaboration technologies 82 percent of businesses currently using social collaboration tools want to use more of them in the future The most widely used social technologies are Facebook (74%) and Twitter (51%) Business and IT decision-makers have a false sense of accomplishment when it comes to social collaboration 15 Source: Is enterprise social collaboration living up to its promise, May 2013. Survey of 1000 business leaders and 4000 employees. 16. 16 17. 17 Platform megalomania Inattention to knowledge processes Misunderstanding social Up with people! @tim_walters@just_clarity 18. Build it and they will come. 18 19. 19@tim_walters@just_clarity 20. 20 80%OF SOCIAL BUSINESS EFFORTS WILL Not HIT THE MARK FOR INTENDED BENEFITS Source: Gartner, January 2013 21. 21 22. 22@tim_walters@just_clarity 23. The What the social platform itself is already dealt with, at least for early adopters. Now were tackling the big issues of How. Jane McConnell How and WHY? 23 Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior 24. 24 Source: http://www.forbes.com/sites/stevedenning/2012/10/31/dont-diss-the-paradigm-shift-in-management/ . Deloitte analysis of 20,000 US Frims 25. It begins with the idea that a firm is in business to make money for the shareholders. To this end, managers direct and control the workers. Work is coordinated by rules, plans and reports, i.e. bureaucracy. The overriding value is that of ever greater efficiency. Communications are top-down and aimed at maintaining control. Work revolves around the boss. The firms principal focus is internal. Its principal dynamic is control with the objective of ever greater efficiency. Steve Denning 25 Source: http://www.forbes.com/sites/stevedenning/2012/10/31/dont-diss-the-paradigm-shift-in-management/ 26. 26 As organizations begin to realize that they need to transform the way they operate, and to challenge their structure and purpose, in order to survive in a world of increasing complexity and fierce competition, rethinking the very nature of work has become critical. (Thierry de Baillon) Employees are increasingly looking for personal growth, purpose recognition, access, influence, impact.The future of work is about getting back to basics and unleashing the power of people. (Ayelet Baron) Change in the workplace starts and ends with people, with how they relate to and work with one another. You need people who understand people as part of your team. (Richard Martin) Source: http://changeagentsworldwide.com/book/1 27. 27 The starting point for organizational change is to realize that our understanding of how we work, alone, with others, and together has altered. The foundations of business that most organizations are operating on are no longer relevant, if they ever were. We need to operate in ways that are aligned with our inherent characteristics. (Clark Quinn) If old world organizations are going to keep their best people from fleeing to greener pastures (or find willing new recruits from colleges), then the first thing theyre going to have to do is recognize that each and every one of their staff are unique individuals, with passions, dreams, ideas, and a spirit of independence. (Rob Caldera) Source: http://changeagentsworldwide.com/book/1 28. 2828 29. 11. The philosophers have only interpreted the world in various ways. The point is to change it. 29 30. 11. The social tools have only impacted the world of work in various ways. The point is to change it. 30 31. 31 32. 32 They should change it. We must change it. You ought to change it. Someone, anyone, please change it! 33. The point is to change it. 33 (Literally: It arrives thereupon to change it.) There is no subject in the sentence, no actor or agent that could/will change the world. Why? Because Marx wants to emphasize that change is not just a matter of people changing their minds, of deciding to change. People do effect change, but only in the context of (and in conjunction with) changed conditions. Look at three instances where changed conditions are at work (and in the workplace) behind the scenes. 34. 34 [Employers have to] recognize that each and every one of their staff are unique individuals, with passions, dreams, ideas, and a spirit of independence. (Rob Caldera) But: Wasnt this true for our parents? Grandparents? Workers now nearing retirement? So: What is different today that makes Robs insight pertinent now (and for the future of work)? Source: http://changeagentsworldwide.com/book/1 35. 35 This dimension [team work and collaboration] has been successively discoveredand forgotten and then loudly rediscoveredby Mary Parker Follett in the 1920s, Elton Mayo and Chester Barnard in the 1930s, Abraham Maslow in the 1940s, Douglas McGregor in the 1960s, Peters and Waterman in the 1980s, Smith and Katzenbach in the 1990s and Richard Hackman in the 2000s. . . .[M]anagers would for a time embrace collaboration and teams, and then in a crisis, disband the teams and revert to the default model of . . . controlling individuals. (Steve Denning) So: Why did the previous change agents fail? What is different today that makes Steves call for radical management more realistic and likely to succeed? Source: http://www.forbes.com/sites/stevedenning/2012/10/31/dont-diss-the-paradigm-shift-in-management/ 36. 36 But: Previous generations also had unique habits. And: All firms must acknowledge the need to accommodate. (Otherwise, millennials must just adapt to the world of work, as did previous generations.) So: What is different today that makes this gens demands so powerful? Source: http://theweek.com/article/index/232375/how-millennials-are-transforming-the-workplace 37. 37 People 38. Digital disruption empowers consumers Outside In (Forrester) Delighting customers (Steve Denning) The consumer expectation/demand for positive experiences 38@tim_walters@just_clarity 39. 39@tim_walters@just_clarity 40. 40 41. 41 Source: Harris Interactive survey of North American consumers, 2011. 42. 42 Source: Okeeffe & Company survey of 1,342 senior executives, 2012. Global executives say the cost of not providing positive, consistent, and brand relevant experiences is 20% of total revenue 43. Consumers are empowered by information and shared opinions, and they are emboldened by choice. They have developed an appetite for rich and rewarding interactions, and they rarely hesitate to seek alternatives when disappointed. Increasingly, companies will succeed and fail according to the quality of the experiences that they offer. - The CEM Imperative: Experience Management in the Age of the Empowered Consumer Digital Clarity Group 43@tim_walters@just_clarity 44. 44 People 45. what it means 45 46. 46 Business justification Clear/measurable impact, value proposition, ROI A driver for org transformation A justification for social practices and tools (i.e., specific value-generating activities Business driver that justifies a radical shift in practice A why that proves a radical shift in the conditions of value production Support for digitization/automation of work Structure and accelerator for business transformation Org-wide support Fundamental transformation of business practices (e.g. outside-in) (Software) support for agility, responsiveness, innovation, consumerization Cure for declining business performance Structure for organization-wide customer-centricity @tim_walters@just_clarity 47. Social is not appreciated if held to traditional standards (e.g., ROI) Social will not be widely adopted if it is judged by (and aspires only to) the established goals of efficiency, productivity, and cost reduction Social will not be successful if it is a collaborative faade on traditional hierarchical organizations Social will not be effective if it serves as a Band-Aid on the gaping wounds...