THE HYPER‐SOCIAL ORGANIZATION, AND
UNDERSTANDING THE CHANGES CAUSED BY
           SOCIAL MEDIA

       PREPARED FOR NEWCOM...
OVERVIEW
WHAT IS ACTUALLY HAPPENING OUT THERE?
UNDERSTANDING THE TRUE DRIVERS OF SOCIAL MEDIA
WHAT IS HYPER‐SOCIALITY, AND...
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 
        ...
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 
        Because we lie to...
Why there is no real (big) business in the long tail




           Because we are a herding species, and a self‐
        ...
Why is status so important (and why do we hoard it)?




            Because it used to get us a better mate 
            ...
So to understand how to do business in a 2.0 world…




                                       You are better off understa...
What are the important Human 1.0 Hyper‐Social Traits

    •   Reciprocity – it’s a reflex that allows us to be the only 
 ...
WHAT IS HYPER‐SOCIALITY AND HOW DID IT SCALE?
AND HOW IS IT IMPACTING BUSINESS?
What is Hyper Sociality, Why Now, and Why is it important to 
What is Hyper‐Sociality Why Now and Why is it important to
O...
Symbols, signs, rules, and culture let reciprocity scale




          Reciprocity scales beyond Dunbar’s 150 people 
    ...
SUCCESSFUL HYPER‐SOCIAL ORGANIZATIONS
THEY THINK DIFFERENTLY ABOUT THEIR BUSINESS



                                     ...
In the old days

                                     Customer
                                      Support




         ...
The new world order                                          Green 
                                                      ...
Hyper‐Social companies think differently: a recap
    •   Think tribe – not market segment
         – We need to find grou...
HYPER‐SOCIAL ORGANIZATIONS
WHAT IS IT THAT THEY DO DIFFERENT?
Hyper‐Social Orgs – Leveraging Social Business Processes
    •   Successful Hyper‐Social organizations turn their 
       ...
Turning a business process into a social process
    •   IS NOT:
         – Running traditional programs using social 
   ...
Process                   Before                    After                     Benefits                  Case Studies
     ...
HYPER‐SOCIAL ORGANIZATIONS
HOW DO THEY GET GOING?
Many paths to success (and many paths to failure too)
    •   Assess Hyper‐Social readiness (plan is to get 
        bench...
Further down the line
    •   Look at new measurements – e.g., customer 
        equity measurements to better reflect imp...
Smaller questions to ask yourself
    •   Are your marketing/employee programs reciprocal?
    •   Would you send collater...
Legal Considerations
    •   What’s legal good for anyway?
          h ’ l l        df            ?
    •   Key Hyper‐Soci...
Brainstorm exercise
    •   You are Social Media Experts (and we are not)
         – How would you define social businesse...
Any questions?

            Francois Gossieaux
            Partner, Beeline Labs
            e. francois@beelinelabs.com
 ...
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SNCR new comm forum 2010

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SNCR new comm forum 2010

  1. 1. THE HYPER‐SOCIAL ORGANIZATION, AND UNDERSTANDING THE CHANGES CAUSED BY SOCIAL MEDIA PREPARED FOR NEWCOMM FORUM – SAN MATEO, APRIL 21 22 A 21,22
  2. 2. OVERVIEW WHAT IS ACTUALLY HAPPENING OUT THERE? UNDERSTANDING THE TRUE DRIVERS OF SOCIAL MEDIA WHAT IS HYPER‐SOCIALITY, AND WHY NOW? S ?  HOW DOES HYPER‐SOCIALITY SCALE? HOW DO HYPER‐SOCIAL ORGANIZATIONS THINK ABOUT THEIR BUSINESS? WHAT DO HYPER‐SOCIAL ORGANIZATIONS DO DIFFERENTLY, AND WHY? HOW DO HYPER‐SOCIAL ORGANIZATIONS GET STARTED AND SUCCEED? EXERCISE – AND WHERE DOES THIS ALL LEAD?
  3. 3. Why are social beings helping one another? Reciprocity = a Reflex
  4. 4. Why are people going out of their way to punish others? Humans have an innate sense of fairness  = keeps reciprocal society working
  5. 5. Why do people like to look like others? Because humans have mirror  neurons
  6. 6. Why do we lie to market researchers? Because we lie to ourselves and others, and we  Because we lie to ourselves and others and we tell people what we think they want to hear
  7. 7. Why there is no real (big) business in the long tail Because we are a herding species, and a self‐ Because we are a herding species and a self‐ herding  one to boot
  8. 8. Why is status so important (and why do we hoard it)? Because it used to get us a better mate  Because it used to get us a better mate – proceed with caution: status works both ways!
  9. 9. So to understand how to do business in a 2.0 world… You are better off understanding  You do not need to understand the  You do not need to understand the Human 1.0 – not as individuals, but as  Web 2.0 technologies hyper‐social creatures
  10. 10. 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 • g g Social framework of evaluating things vs. market  framework So to the extent that we  can basically be human  with what we know, and  • The role of fairness in assessing situations The role of fairness in assessing situations share it as freely as we  y 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. 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
  11. 11. WHAT IS HYPER‐SOCIALITY AND HOW DID IT SCALE? AND HOW IS IT IMPACTING BUSINESS?
  12. 12. What is Hyper Sociality, Why Now, and Why is it important to  What is Hyper‐Sociality Why Now and Why is it important to Organizations? • Technology, connectivity, Moore’s Law allow  our innate Hyper‐Sociality to scale • Mass media is no longer the only show in  town • Organizations (and their functions like  marketing, product development, sales,  marketing product development sales customer support, knowledge management,  HR) were structured in a Hyper‐Social  vacuum.  vacuum • The companies that can mirror their  yp y constituents’ Hyper‐Sociality will be best  positioned to succeed
  13. 13. Symbols, signs, rules, and culture let reciprocity scale Reciprocity scales beyond Dunbar’s 150 people  because of signs, symbols, rules, and culture
  14. 14. SUCCESSFUL HYPER‐SOCIAL ORGANIZATIONS THEY THINK DIFFERENTLY ABOUT THEIR BUSINESS Informed by Tribalization of Business Study: 2009 – 430 Companies took the survey  (52% external communities, 32 hybrid, and 12  (52% t l iti 32 h b id d 12 internal)
  15. 15. In the old days Customer Support PR Marketing Hierarchies within organizations Hierarchies within organizations Mostly 1‐1 customer relationships M tl 1 1 t l ti hi Old: legal employee contracts Old: legal customer contracts
  16. 16. The new world order Green  Green Enthusiasts CIO’s Business model tweak PR Customer support Product Idea Hierarchies within organizations Hierarchies within organizations Mostly 1‐1 customer relationships M tl 1 1 t l ti hi Old: legal employee contracts Old: legal customer contracts New: cross‐functional social contracts New: social contracts
  17. 17. Hyper‐Social companies think differently: a recap • 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 not their market characteristics • Think knowledge network – not information channel – The most important conversations in  “…affinity groups  communities happen in networks of people, not  communities happen in networks of people not will quickly become  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 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
  18. 18. HYPER‐SOCIAL ORGANIZATIONS WHAT IS IT THAT THEY DO DIFFERENT?
  19. 19. 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 passion • Increased WOM
  20. 20. 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  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  g j 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. with customers and detractors etc – TAPPING INTO PASSION, AND HUMAN 1.0  TRAITS
  21. 21. 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  employees and other revenue source  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  y Primarily among  y g Reduced cost and  Best Buy, Dassault y, Communications companies and  customers, detractors  increased  Systemes, Fiskars customers and prospects effectiveness Talent 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 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 21
  22. 22. HYPER‐SOCIAL ORGANIZATIONS HOW DO THEY GET GOING?
  23. 23. Many paths to success (and many paths to failure too) • Assess Hyper‐Social readiness (plan is to get  benchmarking info on this from 2010 Tribalization of  Business Study) • Find the tribes and their leaders – internally and  Compared to other  externally: CMO’s I consider  myself lucky. Dell Hell  – Who are they, what makes them tick, what is their  put our brand under  pressure and  so to  d t language, what is their shared symbolism, where  engage in social  do they hang out, etc. media  was actually a  question of  • Start pilots that matter  ‐ and measure them the same  survival….you cannot  y way you would measure the impact of any other  get into social media  by just putting a toe in  program the water ‐ you are  • Set up infrastructure to: either all in and it  becomes part of your  becomes part of your – Measure cross‐functional impact of programs culture, or you’re not. Erin Nelson, CMO Dell  – Scale the program to where it makes a difference  (cmotwo.com) in business
  24. 24. Further down the line • Look at new measurements – e.g., customer  equity measurements to better reflect impact of  WOM • Monitoring and understanding the behavior of  active lurkers – the largest active member group  of any community (32% of companies are starting  to measure)  • Think of expanding your employee pool by  encouraging more people to participate • Recruit for a Hyper‐Social future – Different talent – Different leadership Different leadership
  25. 25. Smaller questions to ask yourself • Are your marketing/employee programs reciprocal? • Would you send collateral to a friend of yours? • Do you know what 20% of your collateral gets used? y y g • Are you recruiting for skill or  behavior? • Are you ensuring diversity in the recruiting process? • Are you tapping in the social realm to recruit? Are you tapping in the social realm to recruit? • Is your KM extending to your customers? • Is your CRM customer‐centric or account‐centric? • Is it focused on transactions or relationships? • Is it focused on the past/present or the present/future?
  26. 26. Legal Considerations • What’s legal good for anyway? h ’ l l df ? • Key Hyper‐Social legal issues: – Hiring (unlawful background checks, lawful off‐duty  conduct) ) – Disclosure of trade secrets and/or proprietary  information – Privacy (employers may run afoul of SCA; waiters) – Harassment – Wrongful termination – Defamation (of company by employees?) – Disclosure of nonpublic material information  p triggering securities law issues – Negligent referral based on social network references – Unauthorized use of company logos, trademarks and  copyrighted – Material (employees posting other people’s content  to corporate site) – Labor laws Derived from Morgan Lewis analysis at http://www.pli.edu/product_files/EN00000000081353/49749.pdf
  27. 27. Brainstorm exercise • You are Social Media Experts (and we are not) – How would you define social businesses? • We always overestimate the short term impact of  change and underestimate the long term impact  of change – but if you were to extrapolate the  g y p changes moving forward, what would you predict  the big changes would be? • Think about your corporate culture – which  elements of it further Hyper‐Sociality, and which  are an impediment? p
  28. 28. Any questions? Francois Gossieaux Partner, Beeline Labs e. francois@beelinelabs.com f i @b li l b w. http://www.beelinelabs.com b. http://www.emergencemarketing.com c. http://www.marketingtwo.net p // g p. http://www.cmotwo.com Ed Moran e. emoran@deloitte.com e emoran@deloitte com w. http://www.deloitte.com Our new book: The Hyper‐Social Organization http://www.hypersocialorg.com 28

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