1. Natural Learning
2. Network Effects
3. Management
Innovation
4. Slam-Dunk ROI

2

Learning is natural

austin 1, 2, 3
4

5

6

7

Learning
Natural
Social
Spontaneous
Informal
Unbounded
Adaptive
Fun
Self-service
8

20%
10

11

Learnscape Architecture

16

NODES
In the beginning...
17

NODES CONNECT
Connections create value
18

HIERARCHIES
Knowledge is power
19

Connections reach out
Connections erode scarcity
20

Faster, faster, faster
Now

Information Glut
Connections hop the walls
between disciplines. Everyone
is forced to become a
generalist.
22

Everyone is forced to become a genera
Volatility
Days per Year the S&P 500 Gained or Lost >3% in Value
20
15
10
5
0
1950s 1960s 1970s 1980s 1990s 23 2000s

Value migrates to intangibles
Stuff Tangibles
(Nodes)
Market Value
S&P 500
Relationships
Intangibles
(Connections)
1982 1999

Business migrates to services
Services
United States GNP
Personal Consumption
Goods
1947 2007
25
22
Data: Moody’s www.freelunch.com

Value distribution: BEFORE
Most value here
26
23

The Post-network Tail
Value distribution: AFTER
Shorter
Most value here
Longer
Source of innovation
27

The Long Tail
The Post-network Tail
Folksonomy
eBay
Craig’s List
Peer-to-peer
Crowd sourcing
Open software
User-driven innovation
Viral marketing
Source of innovation
28

PHASE CHANGE
Today’s uneasy transition
29

At home:
At work:
35

Learnscape

38

39

40

41

42

43

44

Don’t think one node at a time.

46

Wiki T. Rowe Price
Project History
recurring tax questions
set up FAQ & blog
rapid look-ups

Annual Value
1,500 temp workers
2 minutes/call
$3,000,000
+ better customer service

Intelpedia
Project History Annual Value
3 years old 20,000 active users
free software x 30 minutes/week saved
1,000,000+ page views 200 person-years

Blog + RSS CGI Systems
Professionals learn more from one another
than they will ever learn from outsiders.

CGI
Project History Annual Value
communities of practice 4,000 active users
consolidated research x 30 minutes/week saved
redundancy slashed +100,000 billable hours

Community

SAP Developer Network
Project History Annual Value
communities of practice 1,000,000+ active users
answer customer most queries answered by
inquiries non-employees
network, blogs, tech
incalculable
library, wikis
+ faster, more accurate responses

61
52

62
54

jaycross.com