THE HYPER-SOCIAL ORGANIZATION        THANKING OUR SPONSORS
BUILDING HYPER-SOCIAL ORGANIZATIONS     PREPARED FOR THE HYPER-SOCIAL MINI SUMMIT          – NEW YORK CITY, JAN 19TH, 2011...
LET’S START OFF WITH A LITTLE EXAMPLEHUMAN 1.0 VS. WEB 2.0THE SAP DEVELOPER COMMUNITY
The SAP Developer Network                            Stats:                            1.4 M users                        ...
A look at some NIH + Duke Research   Experiment #1:                Experiment #2:   People play Atari-style       People p...
So to understand how to do business in a 2.0 world…                                      You are better off understandingY...
OVERVIEWQUICK INTROUNDERSTANDING THE TRUE DRIVERS OF SOCIAL MEDIAHOW DO HYPER-SOCIAL ORGANIZATIONS THINK ABOUT THEIR BUSIN...
Quick definitions    • Social media: Various technologies and tools like Facebook, Twitter      and blogs that provide peo...
LET’S GET A LEVEL DEEPER ON THE HUMAN 1.0…
Why are social beings helping one another?                    Reciprocity = a Reflex
Why are people going out of their way to punish others?             Humans have an innate sense of fairness               ...
How do we make decisions?      Social Framework      Market Framework
Why do people like to look like others?                 Because humans have mirror                          neurons
Why do we lie to market researchers?        Because we lie to ourselves and others, and we         tell people what we thi...
Why is status so important (and why do we hoard it)?            Because it used to get us a better mate –         proceed ...
We are a herding species – self herding even
What are the important Human 1.0 Hyper-Social Traits    • Reciprocity – it’s a reflex that allows us to be the only      s...
SUCCESSFUL HYPER-SOCIAL ORGANIZATIONSHOW THEY THINK DIFFERENTLY ABOUT THEIR BUSINESS                                     I...
Hyper-Social companies think differently    • Think tribe – not market segment       – We need to find groups of people wh...
HYPER-SOCIAL ORGANIZATIONSWHAT IS IT THAT THEY DO DIFFERENTLY?
Hyper-Social Orgs – Leveraging Social Business Processes    • Successful Hyper-Social organizations turn their      busine...
Turning a business process into a social process    • IS NOT:       – Running traditional programs using social          m...
Process                  Before                   After                    Benefits                 Case Studies        Sa...
9 WAYS TO THINK DIFFERENTLY ABOUT YOUR BUSINESS…IN A HYPER-SOCIAL WORLD
1) BRING DOWN THAT WALL
Do like IBM – get rid of the firewall while protecting IP                                                   Green         ...
2) DON’T BUILD NEW WALLS
Don’t put a wall between company and people
Don’t put a wall between company and people
Embrace what people want    …and give them access…it will increase passion & productivity!
3) TEAR DOWN SILOS…AND GET PEOPLE COMMITMENT
Business objectives of communities           Q: Of the following business objectives which best represent your            ...
Department managing community        Q: Which department manages your community (even if                           outsour...
# of people managing community    Q: How many people from your company manage this community as                          t...
Establish Center for Excellence                                   Marketing                                         Budget...
4) FIX THE GREAT DIVIDE…BETWEEN MARKETING AND CUSTOMER SUPPORT
Your brand is only as good as the last transaction    • Fix the whole company’s user interface      with the customer:    ...
5) DON’T BUILD WHAT YOU BUILT BEFORE…OR DON’T LET HISTORY REPEAT ITSELF
Move with caution – it’s not easy!                                       We need                                     Socia...
The funnel is dead  Source: McKinsey Quarterly  http://www.mckinseyquarterly.com/The_consumer_decision_journey_2373       ...
Today’s buying cycle: a social-powered continuous loop process                                                            ...
CRM – the makings of a social process    • Leave company centricity behind:       – Prospects, lead nurturing, sales funne...
6) MAKE SURE CIO & CMO   ARE BEST FRIENDS
The benefits of a CIO/CMO friendship    • Build the right infrastructure to support      your social processes    • Find t...
7) THINK CULTUREDON’T JUST THINK TECHNOLOGY
BE HUMAN“WE FIND OURSELVES IN THE ODDEST POSITION – WHICHIS TO TELL THE BUSINESS UNITS THAT THIS IS NOT ATECHNOLOGY ISSUE ...
The benefits of allowing people to be human    • Better knowledge flows = Social      Knowledge Management Platform    • C...
8) BECOME THE CUSTOMER ADVOCATE…NOT THE COMPANY ADVOCATE
9) ESTABLISH TRUST AS THE NEW   CURRENCYHOW CAN YOU EXPECT YOUR CUSTOMERS TO TRUSTYOU IF YOU CANNOT TRUST YOUR EMPLOYEES?
Any questions?            Francois Gossieaux            Partner, Beeline Labs            e. francois@human1.com           ...
DEALING WITH RISK MANAGEMENT
Social Media brings new risks    • Brand risk    • Legal risks       – Labor laws       – Non compete       – HR       – W...
RISKS ARE EGALITARIANCEO VS. EMPLOYEES ARE EQUAL SOURCES OF RISKPROTECTIONS THAT ENGENDER RISKS ARE MEANT TO PROTECT BOTHI...
HOW TO DEAL WITH IT?EDUCATION VS. RULES AND POLICIESAFFIRM THE CULTURE, DON’T DEFINE IT
AND THE BIGGEST RISK OF ALL= THE RISK OF DOING NOTHING
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Hyper-Social Organization Summit presentation

  1. 1. THE HYPER-SOCIAL ORGANIZATION THANKING OUR SPONSORS
  2. 2. BUILDING HYPER-SOCIAL ORGANIZATIONS PREPARED FOR THE HYPER-SOCIAL MINI SUMMIT – NEW YORK CITY, JAN 19TH, 2011 @FGOSSIEAUX, @EDMORAN, @SKWILDER, @ROBERTCOLLINS
  3. 3. LET’S START OFF WITH A LITTLE EXAMPLEHUMAN 1.0 VS. WEB 2.0THE SAP DEVELOPER COMMUNITY
  4. 4. The SAP Developer Network Stats: 1.4 M users 400K+ business experts Content-rich Original Incentive System: Point system leading to personal rewards The Results: Bullying behavior in the community New Incentive System: Point system leading to donation to good cause The Results: No more bullying in the community Web 2.0 or Human 1.0? 4
  5. 5. A look at some NIH + Duke Research Experiment #1: Experiment #2: People play Atari-style People play Atari-style video game which allows video game which allows them to earn or lose money them to earn or lose money for themselves for a charity MRI scans shows that the MRI scans shows that the pleasure side of the brain altruism side of the brain lights up – that same part lights up – that same part that gets addicted to drugs that is responsible for social interactions
  6. 6. So to understand how to do business in a 2.0 world… You are better off understandingYou do not need to understand the Human 1.0 – not as individuals, but as Web 2.0 technologies hyper-social creatures
  7. 7. OVERVIEWQUICK INTROUNDERSTANDING THE TRUE DRIVERS OF SOCIAL MEDIAHOW DO HYPER-SOCIAL ORGANIZATIONS THINK ABOUT THEIR BUSINESS?WHAT DO HYPER-SOCIAL ORGANIZATIONS DO DIFFERENTLY, AND WHY?9 WAYS TO THINK DIFFERENTLY ABOUT YOUR ORGANIZATIONHOW TO DEAL WITH RISK
  8. 8. Quick definitions • Social media: Various technologies and tools like Facebook, Twitter and blogs that provide people with a massive platform for interaction with one another. “Social media” is often used synonymously with “Web 2.0” or “social software.” • Tribe: A collection of people who choose to interact due to shared interests and passions (scrapbooking, software, wine) and affinity for one another. They are characterized more by whom they like to hang out with and their behaviors than individual traits (like age or income) • Hyper-Social: The cooperative, reciprocal behavior displayed between humans who are not necessarily related or in close geographic proximity
  9. 9. LET’S GET A LEVEL DEEPER ON THE HUMAN 1.0…
  10. 10. Why are social beings helping one another? Reciprocity = a Reflex
  11. 11. Why are people going out of their way to punish others? Humans have an innate sense of fairness = keeps reciprocal society working
  12. 12. How do we make decisions? Social Framework Market Framework
  13. 13. Why do people like to look like others? Because humans have mirror neurons
  14. 14. Why do we lie to market researchers? Because we lie to ourselves and others, and we tell people what we think they want to hear
  15. 15. Why is status so important (and why do we hoard it)? Because it used to get us a better mate – proceed with caution: status works both ways!
  16. 16. We are a herding species – self herding even
  17. 17. What are the important Human 1.0 Hyper-Social Traits • Reciprocity – it’s a reflex that allows us to be the only super-social species without all being brothers and sisters • The role of fairness in assessing situations So to the extent that we can basically be human • Social framework of evaluating things vs. market with what we know, and framework share it as freely as we possibly can, I think we’ll go a long way towards gaining a higher or • The importance of looking cool and mimicking others stronger level of trust with the consumers. • Herding and self-herding Barry Judge, CMO Best (early research shows that social behavior does not change when it scales) Buy http://www.cmotwo.com
  18. 18. SUCCESSFUL HYPER-SOCIAL ORGANIZATIONSHOW THEY THINK DIFFERENTLY ABOUT THEIR BUSINESS Informed by Tribalization of Business Study: 2008-2010 – 1,000+ companies took the survey
  19. 19. Hyper-Social companies think differently • Think tribe – not market segment – We need to find groups of people who have something in common based on their behavior, not their market characteristics • Think knowledge network – not information channel – The most important conversations in “…affinity groups communities happen in networks of people, not will quickly become between the company and the community. the dominant social force in the • Think human-centricity – not company-centricity emerging world – The human has to be at the center of everything economy, changing how we think about you do, not the company markets, fads, social • Think emergent messiness – not hierarchical fixed movements, and, ultimately, power” processes – People will want to see responses to their - Tom Hayes, Jump suggestions, even if it does not fit your Point: How Network Culture is community goals – FAST Revolutionizing Business – 2008
  20. 20. HYPER-SOCIAL ORGANIZATIONSWHAT IS IT THAT THEY DO DIFFERENTLY?
  21. 21. Hyper-Social Orgs – Leveraging Social Business Processes • Successful Hyper-Social organizations turn their business processes into “social” processes – Why? • Scale • Increased quality • Increased passion • Increased WOM
  22. 22. Turning a business process into a social process • IS NOT: – Running traditional programs using social media platforms – PR by blogging press releases, lead gen by spamming community members, recruiting through spray and pray over Twitter, etc. • BUT IS: – Running programs based on human reciprocity and social contracts to get others, whose job it isn’t to do so, to help you do your job – customer support with the help of all employees and customers, product innovation with customers and detractors, etc. – TAPPING INTO PASSION, AND HUMAN 1.0 TRAITS
  23. 23. Process Before After Benefits Case Studies Sales One-to-one Many-to-many Sales is social Tibco, Zappos networking Product Innovation Constraint to a Includes all Reduce product failure Cisco, Netflix department employees, rates (now at 80%) customers, prospects and detractors Lead generation Interrupt-driven Become findable, be Leads that actually EMC, Dell generally helpful in want to buy public conversation something Customer Service Conducted by Conducted by Customers service as a SAP, Zappos employees employees and other revenue source customers instead of cost center Knowledge Top down process Federated and user- KM that works, IBM Management driven process changes in work habits Customer Mostly between Primarily among Reduced cost and Best Buy, Dassault Communications companies and customers, detractors increased Systemes, Fiskars customers and prospects effectivenessTalent Acquisition and Board, interrupt- Endorsed by the tribes Social context Monster.com Development driven and based on people belong to provides better weak ties WOM matches Employee Mostly within silos Cross enterprise Increased serendipity, IBM, FedEx, Cisco Communications increased support Market research Based on small groups Based on tribes and Much more accurate Eli Lilly, Pfizer, IBM, and financial social contract market data and Fiskars incentives increased success PR & Thought Rolodex based and Community/tribe Much more Microsoft, Intuit leadership focused on traditional based and focused on amplification of the media social media messages 23
  24. 24. 9 WAYS TO THINK DIFFERENTLY ABOUT YOUR BUSINESS…IN A HYPER-SOCIAL WORLD
  25. 25. 1) BRING DOWN THAT WALL
  26. 26. Do like IBM – get rid of the firewall while protecting IP Green Enthusiasts CIO’s Business IP model tweak PRIP Customer IP support Product Idea …increase knowledge flows…and competitiveness
  27. 27. 2) DON’T BUILD NEW WALLS
  28. 28. Don’t put a wall between company and people
  29. 29. Don’t put a wall between company and people
  30. 30. Embrace what people want …and give them access…it will increase passion & productivity!
  31. 31. 3) TEAR DOWN SILOS…AND GET PEOPLE COMMITMENT
  32. 32. Business objectives of communities Q: Of the following business objectives which best represent your community? (select all that apply) 70% 60% 50% 40% 30% 20% 10% 0%
  33. 33. Department managing community Q: Which department manages your community (even if outsourced)?60%50%40%30%20%10%0%
  34. 34. # of people managing community Q: How many people from your company manage this community as their full-time job? 3% 5% 2% None: part time job 23% One 5-Feb 51% 10-Jun More than 10 Other 16%
  35. 35. Establish Center for Excellence Marketing Budgets HR Sales SM Center for Excellence Development Support
  36. 36. 4) FIX THE GREAT DIVIDE…BETWEEN MARKETING AND CUSTOMER SUPPORT
  37. 37. Your brand is only as good as the last transaction • Fix the whole company’s user interface with the customer: – Sales – Marketing – Customer Support – Service, etc… • Tap into the passion of employees and customers to help one another across boundaries
  38. 38. 5) DON’T BUILD WHAT YOU BUILT BEFORE…OR DON’T LET HISTORY REPEAT ITSELF
  39. 39. Move with caution – it’s not easy! We need Social graphs We needSocial CRM
  40. 40. The funnel is dead Source: McKinsey Quarterly http://www.mckinseyquarterly.com/The_consumer_decision_journey_2373 40
  41. 41. Today’s buying cycle: a social-powered continuous loop process Tribes & NetworksMany more sources ofinformation Can still become part of consideration set Based on source: McKinsey Quarterly http://www.mckinseyquarterly.com/The_consumer_decision_journey_2373 41
  42. 42. CRM – the makings of a social process • Leave company centricity behind: – Prospects, lead nurturing, sales funnel, etc. • Put the customer at the center: – What does she need? – Will it work for her? • Increase knowledge flows, and think tribes – Who can help her internally? – Who can help her externally? • Embrace a messier process – Allow people to jump in and help
  43. 43. 6) MAKE SURE CIO & CMO ARE BEST FRIENDS
  44. 44. The benefits of a CIO/CMO friendship • Build the right infrastructure to support your social processes • Find the right pockets of culture to ensure adoption • Regain a strategic role at the executive table by being the representatives for the voice of the customer within your company
  45. 45. 7) THINK CULTUREDON’T JUST THINK TECHNOLOGY
  46. 46. BE HUMAN“WE FIND OURSELVES IN THE ODDEST POSITION – WHICHIS TO TELL THE BUSINESS UNITS THAT THIS IS NOT ATECHNOLOGY ISSUE BUT A PEOPLE AND PROCESS ISSUE.”– CIO AT A MAJOR PHARMACEUTICAL COMPANY
  47. 47. The benefits of allowing people to be human • Better knowledge flows = Social Knowledge Management Platform • Customer/employee centricity = leveraging more passion • Leveraging passion = increasing productivity exponentially • More passion = increased WOM = the creation of more customers with a higher lifetime value “The purpose of a business is to create a customer.” -- Peter Drucker
  48. 48. 8) BECOME THE CUSTOMER ADVOCATE…NOT THE COMPANY ADVOCATE
  49. 49. 9) ESTABLISH TRUST AS THE NEW CURRENCYHOW CAN YOU EXPECT YOUR CUSTOMERS TO TRUSTYOU IF YOU CANNOT TRUST YOUR EMPLOYEES?
  50. 50. Any questions? Francois Gossieaux Partner, Beeline Labs e. francois@human1.com w. http://www.human1.com b. http://www.emergencemarketing.com Ed Moran e. emoran@deloitte.com w. http://www.deloitte.com Our new book: The Hyper-Social Organization http://www.hypersocialorg.com 50
  51. 51. DEALING WITH RISK MANAGEMENT
  52. 52. Social Media brings new risks • Brand risk • Legal risks – Labor laws – Non compete – HR – Whistleblower laws • Competitive risks • IP risks • Privacy • Loss of operational efficiency • Compliance risks • Etc…
  53. 53. RISKS ARE EGALITARIANCEO VS. EMPLOYEES ARE EQUAL SOURCES OF RISKPROTECTIONS THAT ENGENDER RISKS ARE MEANT TO PROTECT BOTHINDIVIDUALS AS WELL AS COMPANIES
  54. 54. HOW TO DEAL WITH IT?EDUCATION VS. RULES AND POLICIESAFFIRM THE CULTURE, DON’T DEFINE IT
  55. 55. AND THE BIGGEST RISK OF ALL= THE RISK OF DOING NOTHING
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