Winning in                   ‘Network Society’Professor N. Venkat VenkatramanBoston University                 Ericsson Ex...
1.Future State: The ‘Network Society’2.Building Blocks: Evolution of the Web3.Key to Winning: Strategy as Navigation
Why do successful companies fail?
Core Competency
Competency Trap
“The difficulty lies notso much indeveloping newideas as in escapingfrom old ones.”
Recent business model   innovations.....
They challenge‘industry definitions’
Industry versus Network•   Supply of products and services         •   Demands of customer segments•   Competitors have ‘s...
Computer Industry (1980s)                        Consulting                       Applications                          To...
Computer ‘Industry’ (2002)                       Consulting                       Applications                          To...
Microsoft’s PC EcosystemConsultingApplications   Tools    OSNetworkingPeripheralsComputersProcessors
Portfolio         Portfolio         Portfolio          Portfolio   of                of                of                 ...
Business         Consumer            B2B              B2CBusiness                      M2M            C2B              C2C...
1995
1995   2011   2015
Compute       Connect            CloudMoore’s Law   Metcalfe’s Law   Bandwidth Law
Social                    WebMobile                                 Media Web                                   Web       ...
1. Mobile Web
5 billion mobile subscriptions            today
5 billion          !smartphonesby 2016
MOBILE WEB EVOLUTION2005     2010     2015
+Role of Apple       Role of ‘Apps’
July 2011            Fifteen              XJuly 2008
+Role of Google       Role of Android
Post-PC or PC+ World in 2012                           >500 million annual units       400+ million annual units
The Mobile Web....
So, How are companiesexperimenting with mobile web?
So, What’s Your Strategy for shaping           “Mobile Web”?
2. Social Web
+69%DO YOU KNOW FACEBOOK?              -9%
Total time spent > Google      70% Outside USA                 50% log on everyday  750  X~ 700 Million                >35...
B2C   B2C                  FB                  C2C                  C2BWeb
Adapted from Janice Diner
The Social Web....?          X      ?      ?
So, What’s Your Social Web Innovation?
3. Media Web
By 2015.................We will reach 3 trillion internet videominutes per month...........One million internet video minu...
3 billion views every dayAverage person         15 minutes per day48 hours of video uploaded every minute70% outside USA94...
Live           Movies       Shows
WS ..                       N VIE                  ILLIO              NE B       ST OF IR                       48.5 Milli...
The Media Web....
So, What’s Your Media Web Innovation?
4. Real time Web“Do you tweet?”
200 million tweets a day350 billion tweets delivered every day
12.967,560   3,317,9619,834,541    12,183,804
Tweeting and Retweeting about the Japanese natural disaster
Realtime Web        50 + Million Subscribers
Google takes on Groupon
WEAVING THESE WEBS   TOGETHER...
Command Centers
To Become the “LargestParticipatory Brand in the World”
Websites are integrating Facebook,YouTube and Twitter                                                   1 2               ...
Zero Moment of TruthFirst
The Realtime Web....
5. Machine Web   (Devices)
Automobile as a computer on wheels    connected to the network
GM OnStar:Remote Door Unlock & Remote Start
GM OnStar:Remote Vehicle Slowdown
MyFord Touch
‘Automotive Ecosystems’
Mobile             Social      Realtime Web               Web           WebYou & Your Customers         Machine           ...
Products                            ServicesNETWORK         SOCIETY                Processes
Compute       +                  Connect          +                                         CloudMoore’s Law       Metcalf...
Your Distinction      Your Distinction“Building Blocks”                            Today              TomorrowMobile WebSo...
Transformation
!"#$%&().#*%2#3()               !*+,#"-()            ./"01&/()
3• Networks deliver distinct value    to specific customer segments    through a portfolio of capabilities    linked throug...
13• What’s your role in emerging    network society?    • Orchestrator?    • Specialized Node?
23• Where’s your vantage point in the    emerging business networks?    • Customer-facing?    • Supporting?
Early stages for business models in the digital,      network era         Ericsson’s role as a trusted business         ad...
Orchestration                            CustomerSupport                             Facing          Specialist Node
“The difficulty lies notso much indeveloping newideas as in escapingfrom old ones.”
Thanks!                Good Luck!!    email:venkat@bu.edu                             twitter                          @NV...
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
Towards Network Society: Five Interconnected Webs
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Towards Network Society: Five Interconnected Webs

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My thoughts on the building blocks for the digital network era. I used this as the basis for discussions with executives at Ericsson.

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Transcript of "Towards Network Society: Five Interconnected Webs"

  1. 1. Winning in ‘Network Society’Professor N. Venkat VenkatramanBoston University Ericsson Executive Program@NVenkatraman August 2011
  2. 2. 1.Future State: The ‘Network Society’2.Building Blocks: Evolution of the Web3.Key to Winning: Strategy as Navigation
  3. 3. Why do successful companies fail?
  4. 4. Core Competency
  5. 5. Competency Trap
  6. 6. “The difficulty lies notso much indeveloping newideas as in escapingfrom old ones.”
  7. 7. Recent business model innovations.....
  8. 8. They challenge‘industry definitions’
  9. 9. Industry versus Network• Supply of products and services • Demands of customer segments• Competitors have ‘similar’ production • Competitors satisfy customer demands in methods different ways• Competitors are well-defined • Competitors straddle different ‘industries’• Linear, vertical supply-chain • Complex, interconnected demand-chain• Competitors are NOT partners • Competitors often ARE partners
  10. 10. Computer Industry (1980s) Consulting Applications Tools OS Networking Peripherals Computers ProcessorsBill Gates Testimony
  11. 11. Computer ‘Industry’ (2002) Consulting Applications Tools OS Networking Peripherals Computers ProcessorsBill Gates Testimony
  12. 12. Microsoft’s PC EcosystemConsultingApplications Tools OSNetworkingPeripheralsComputersProcessors
  13. 13. Portfolio Portfolio Portfolio Portfolio of of of ofProducts Business Capabilities RelationshipsWhat products & services How do we assemble the required do we offer? capabilities to meet customer demands? ‘Inside-out’ ‘Outside-in’
  14. 14. Business Consumer B2B B2CBusiness M2M C2B C2CConsumer
  15. 15. 1995
  16. 16. 1995 2011 2015
  17. 17. Compute Connect CloudMoore’s Law Metcalfe’s Law Bandwidth Law
  18. 18. Social WebMobile Media Web Web Realtime Machine Web Web
  19. 19. 1. Mobile Web
  20. 20. 5 billion mobile subscriptions today
  21. 21. 5 billion !smartphonesby 2016
  22. 22. MOBILE WEB EVOLUTION2005 2010 2015
  23. 23. +Role of Apple Role of ‘Apps’
  24. 24. July 2011 Fifteen XJuly 2008
  25. 25. +Role of Google Role of Android
  26. 26. Post-PC or PC+ World in 2012 >500 million annual units 400+ million annual units
  27. 27. The Mobile Web....
  28. 28. So, How are companiesexperimenting with mobile web?
  29. 29. So, What’s Your Strategy for shaping “Mobile Web”?
  30. 30. 2. Social Web
  31. 31. +69%DO YOU KNOW FACEBOOK? -9%
  32. 32. Total time spent > Google 70% Outside USA 50% log on everyday 750 X~ 700 Million >35% log on using mobile devices & twice as active http://blog.hiddenharmonies.org/wp-content/uploads/2011/01/facebook_december_2010.png
  33. 33. B2C B2C FB C2C C2BWeb
  34. 34. Adapted from Janice Diner
  35. 35. The Social Web....? X ? ?
  36. 36. So, What’s Your Social Web Innovation?
  37. 37. 3. Media Web
  38. 38. By 2015.................We will reach 3 trillion internet videominutes per month...........One million internet video minuteevery second!
  39. 39. 3 billion views every dayAverage person 15 minutes per day48 hours of video uploaded every minute70% outside USA94% of Adverting Age’s 100 advertisers runcampaigns on
  40. 40. Live Movies Shows
  41. 41. WS .. N VIE ILLIO NE B ST OF IR 48.5 Million Views in 30 days!
  42. 42. Facebook and the Media Web
  43. 43. The Media Web....
  44. 44. So, What’s Your Media Web Innovation?
  45. 45. 4. Real time Web“Do you tweet?”
  46. 46. 200 million tweets a day350 billion tweets delivered every day
  47. 47. 12.967,560 3,317,9619,834,541 12,183,804
  48. 48. Tweeting and Retweeting about the Japanese natural disaster
  49. 49. Realtime Web 50 + Million Subscribers
  50. 50. Google takes on Groupon
  51. 51. WEAVING THESE WEBS TOGETHER...
  52. 52. Command Centers
  53. 53. To Become the “LargestParticipatory Brand in the World”
  54. 54. Websites are integrating Facebook,YouTube and Twitter 1 2 3
  55. 55. Zero Moment of TruthFirst
  56. 56. The Realtime Web....
  57. 57. So, What’s Your Realtime Web Innovation?
  58. 58. 5. Machine Web (Devices)
  59. 59. Automobile as a computer on wheels connected to the network
  60. 60. GM OnStar:Remote Door Unlock & Remote Start
  61. 61. GM OnStar:Remote Vehicle Slowdown
  62. 62. MyFord Touch
  63. 63. ‘Automotive Ecosystems’
  64. 64. Mobile Social Realtime Web Web WebYou & Your Customers Machine Media Web Web
  65. 65. Products ServicesNETWORK SOCIETY Processes
  66. 66. Compute + Connect + CloudMoore’s Law Metcalfe’s Law Bandwidth Law
  67. 67. Your Distinction Your Distinction“Building Blocks” Today TomorrowMobile WebSocial WebMedia WebReal time WebMachine (device) Web Low - Medium - High Low - Medium - High
  68. 68. Transformation
  69. 69. YOUR Challenge ........
  70. 70. !"#$%&().#*%2#3() !*+,#"-() ./"01&/()
  71. 71. 3• Networks deliver distinct value to specific customer segments through a portfolio of capabilities linked through relationships
  72. 72. 13• What’s your role in emerging network society? • Orchestrator? • Specialized Node?
  73. 73. 23• Where’s your vantage point in the emerging business networks? • Customer-facing? • Supporting?
  74. 74. Early stages for business models in the digital, network era Ericsson’s role as a trusted business advisor in helping customers win in the network society
  75. 75. Orchestration CustomerSupport Facing Specialist Node
  76. 76. “The difficulty lies notso much indeveloping newideas as in escapingfrom old ones.”
  77. 77. Thanks! Good Luck!! email:venkat@bu.edu twitter @NVenkatraman

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