Enterprise Social Media An IBM Case-Study David Zaki
Agenda1. Pre-cautions2. IBM’s Social Media Strategy3. Insights into IBM’s Social Media4. The Payoff and Smarter Planet5. On the ROI of social media
Pre-cautions1. This case-study is a success story.2. I don’t know how many times they faced problems before reaching this state.3. Sorry, but don’t expect an exciting story behind how IBM became that successful BUT… There must be a reason for choosing thiscase-study other than the final exam J
IBM’s Social Media Strategy“We don’t have a corporate blogor Twitter ID because we want the‘IBMers’ to be the corporate blogand Twitter ID” ~ Adam Christensen,Social Media Communications Managerat IBM corporation
IBM’s Social Media StrategyStrategy: Decentralized socialmedia approach.Rules: “Employees are responsiblefor what they create and prohibitrelease of proprietary information”
Social Media Status• No Corporate blog or twitter ID• 17,000 internal blogs• 100,000 employees using internal blogs• 53,000 members on SocialBlue (like Facebook for employees)• A few thousand “IBMers” on Twitter
Social Media Status• Thousands of external bloggers,• Almost 200,000 on LinkedIn• As many as 500,000 participants in company crowd-sourcing “jams”• 50,000 in alum networks on Facebook and LinkedIn
People at IBM understood what socialmedia is all about… “Power to the PEOPLE” But the story did not end…
Smarter Planet• In 2003 IBM conducted it’s first “jam”• JAM: gathering IBM’s employees, families and friends for 3 straight days in an online forum to discuss IBM’s next investment• From 50 research projects, people had to vote for 10.• Then they voted for “Smarter Planet”
Smarter Planet• IBM invested $ 100 million in the “Smarter Planet” project.• All from the votes of “PEOPLE”• Smarter Planet: is a research project that looks in problems like smarter public transportation, smarter health care systems, how to solve the rush hour problem.
The Payoff• $ 12.3 Billion in earnings• $ 100 Billion in revenue• 44.1 % gross profit margin
ROI of Social Media• Until now there is no direct ROI for Social Media.• It’s a change in the world we are living in.• You either accept the change or lose the game.• No hard figures but necessary for surviving and thriving in a new reality.• IBM changed it’s core values and investments based on the new social world.
Take Away..• Understand the change.• Accept the change.• Act accordingly.• Social Media is about PEOPLE.• Don’t put rules if you want to play Social Media.• No direct ROI but necessary for surviving.