Enterprise2.0 Conference Presentation

Enterprise 2.0 Anti-Patterns, ROI and metrics technology • business • people Jennifer Okimoto Senior Managing Consultant, Human Capital Management – IBM US © 2009 IBM Corporation Not for further distribution Photo by Flickr user and IBMer shawdm, used with author permission

In Twitter: @jenokimoto #e2conf29

Jen Okimoto [email_address]
Senior Managing Consultant, Enterprise 2.0 Provocateur and Hand Holder with IBM Global Business Services – Human Capital Management Practice
Leading our Workforce and Talent Solutions – Connect initiative
17 years as a Consultant – BPR, CRM, ERP, L&D, K&C, WTS
Current clients in Electronics, Chemicals & Petroleum and Pharmaceutical industries
Co-chairs the Web2.0 for Business IBM Community
Political Science and Chinese Studies degrees from Wellesley College
MPIA in Comparative Public Policies from University of California, San Diego, International Relations and Pacific Studies
In the last year I’ve worked in the US, Toronto, Buenos Aires, London, Paris, Bangalore, Singapore, Shanghai and Beijing
About Me

Tag cloud generated by Wordle, a masterpiece app by IBMer Jonathan Feinberg About Me Jen Okimoto [email_address]

From Hype to Productivity
Enterprise Web 2.0 Anti-Patterns
ROI and Metrics *
Agenda

Part I: The Journey to Productivity

Hype Curve conceived by Gartner Visibility Time Technology Trigger Peak of Inflated Expectations Trough of Disillusionment Slope of Enlightenment Plateau of Productivity Web 2.0 Going through Gartner’s Hype Curve

Source: Crossing the Chasm , by Geoffrey A Moore Crossing the Chasm Technology Enthusiasts Visionaries Pragmatists Conservatives Skeptics Early Adopters Early Majority Chasm

Source: IOA CMM Level 5 Journey From “Hit or Miss” to Process Stability & Improvement Initial Manage Defined Quantitatively Managed Optimized Hero-based culture Process-based culture

The roadmap to the future Columbus Monument, Santo Domingo, Dominican Republic Photo by Aaron Kim

Part II: Enterprise Web 2.0 Anti-Patterns

In software engineering, an anti-pattern is a design pattern that appears obvious but is ineffective or far from optimal in practice.
It’s a pattern that tells you how to go from a problem to a bad solution .
It’s something that looks like a good idea , but which backfires badly when applied.
Sources: Wikipedia (as of 12/Sep/2008) http://c2.com/cgi/wiki?AntiPattern

Antipattern: <pattern name>

Why the bad solution looks attractive It becomes a pattern because somehow it looks like the right thing to do Why it turns out to be bad Common pitfalls What positive patterns are applicable instead Best (Good?) Practices

Antipattern: Fear 2.0 Photo by Flickr user Violator3, licensed under Creative Commons, Attribution 2.0 Generic

Fear is not a bad thing, but action paralysis is
Failure comes with a name tag
Innovating is risky , not innovating may be riskier
Full control is no longer in your hands
Fail often , fail quickly , fail gracefully and learn from it *
* Partially based on a presentation by Mike Moran Antipattern: Fear 2.0

The cousin to Fear2.0 Antipattern: Control 2.0 Photo by IBM Beehive user Ole Rasmussen, licensed under Creative Commons, Attribution 2.0 Generic

Photo: Leopard EM Antipattern: New World, Old Habits

Photo by Flickr user dcjohn, licensed under Creative Commons, Attribution 2.0 Generic Antipattern: New World, Old Habits

Photo: StockExchange Antipattern: New World, Old Habits

Your clients Your business partners Other employees in your company Co-Workers Friends People as your competitive advantage You Jim Mary Your manager Jim’s manager Susan John Helen Roberto Akira Chris Peter Frequent e-mails Infrequent e-mails Web 2.0 Collaboration

“ It’s just like phone and email ”
A fool with a tool is still a fool
“ Web 2.0 is an attitude , not a technology” (Ian Davis)
It’s about culture transformation, not a toolset
“ Ultimately, taking full advantage of Web 2.0 may require Management 2.0 ” (Business Week, June 5, 2006)
Antipattern: New World, Old Habits

Antipattern: Build it, and they will come Photo by Flickr user Sister72, licensed under Creative Commons, Attribution 2.0 Generic

“ If Wikipedia works, my wiki will too”
People have limited bandwidth 2.0
The joke , the circus and the soap-opera
Clay Shirky’s plausible promise , effective tool and acceptable bargain (HCE)
User Adoption Plan + Balanced Incentives
Antipattern: Build it, and they will come

Source: C’est la maturité, stupide! Maslow s’invite à la table du 2.0 http://mediapedia.wordpress.com/2006/07/30/c%E2%80%99est-la-maturite-stupide-maslow-s%E2%80%99invite-a-la-table-du-20/ Motivations and Rewards

Antipattern: The World Is Flat Photo: Wikimedia Commons, Public Domain, NASA

In a flat world solutions should be universally applicable
Locations and companies have unique cultures
Online ecosystems mimic natural ones
The joke, the circus, the soap opera…
Think about survival strategies: competition, predation, cooperation, symbiosis
Antipattern: The World is Flat

Antipattern: Geekness 2.0 Photo by Flickr user pipeapple, licensed under Creative Commons, Attribution 2.0 Generic

“ For it to work, you just need to use Firefox, download and install Greasemonkey, edit a Userscript and install it. Anybody can do it. ”
Second law of thermodynamics: Energy and Entropy
Laziness 2.0
Nudge and KISS
Antipattern: Geekness 2.0

Antipattern: Search, and thou should not find Photo: Wikimedia Commons, Public Domain

Flickr: photos tagged with “Cat”

Flickr: “Interestingness” and “The Wisdom of Crowds” What is Web 2.0? Seven Principles

Your users embraced Web 2.0 and are creating plenty of content
Most of it is likely to be, err, not very good
Information overload will quickly overwhelm your users
UGC needs to be indexed by the main search facility
Not all UGC is created equal, so make the good float to the top
Antipattern: Search, and thou should not find

Part III: ROI and Metrics

Antipattern: Intangible means unmeasurable Photo by Flickr user Memotions, licensed under Creative Commons, Attribution 2.0 Generic

“ Nobody asks what’s the ROI for phone and email ”
Business value must discount costs
Value creation vs. value capture
Easy to understand business case
Easy to calculate ROI models
Antipattern: Intangible means unmeasurable

Antipattern: Measuring supply, not demand Photo by Flickr user Memotions, licensed under Creative Commons, Attribution 2.0 Generic

Number of bloggers, posts, wiki spaces, wiki authors are measures of supply
Not all UGC has business value
Not all UGC has business value proportional to its volume
Find which demand metrics can be associated to business value
Antipattern: Measuring supply, not demand

ROI: The need for an “R” Source: Let's get real or let's not play" by Mahan Khalsa "If there is no 'R', your 'I' is a 'C'. And the cost is always too high ."

What is the top barrier to the further success of your Web 2.0 initiatives? Source: Building the Web 2.0 Enterprise - McKinsey Global Survey Results, July 2008 Based on survey responses by 1,988 executives from around the world “ Do not understand potential financial returns” 28%

How does your organization measure the business value of its Web 2.0 deployments? “ We use traditional measures such as ROI, TCO & IRR” 63% Source: IT Will Measure Web 2.0 Tools Like Any Other App , Forrester Research, July 25, 2007 Base: 190 IT decision-makers at US firms with 500 or more employees invested in orpiloting Web 2.0 technology (multiple responses accepted)

The 9x Effect: Innovators vs Bean Counters Value x effort Adapted from: Understanding the Psychology of New-Product Adoption , by John T. Gourville, Harvard Business Review, June 2006 (modified) 3x 9x 3x
EARLY ADOPTERS/INNOVATORS ARE USUALLY
Convinced the innovation works
Likely to see a need for the product
Dissatisfied with the existing substitute
Set on viewing the innovation as the benchmark
BEAN COUNTERS ARE USUALLY
Skeptical about a new product’s performance
Unable to see the need for it
Satisfied with the existing product
Quick to see what they already own as the status quo
Innovators outweigh the new product’s benefits by a factor of 3 Bean counters outweigh the incumbent product’s benefits by a factor of 3

Identifying the right metrics Photo by Flickr user oskay, licensed under Creative Commons, Attribution 2.0 Generic
What is your business objective?
Is your metric stable?
Can a benchmark be established?
Do you have the levers to influence it?
Iterative and Interactive! Adapted from: 1) Rethinking Measurement: More than evaluating performance (Interview with Dean Spitzer, IBM Research) Consultant’s Edge #146 by Peter Andrews, February 21, 2007 2) The Metrics Maze - Am I Lost? , by Srishti Gupta MediaPost’s Online Metrics Insider, Sep 5, 2008

Increased revenue
Increased conversions
Increased social capital
Brand capital
Future value of client loyalty/employee retention
Proxy metrics: Marketing equivalent
Side benefits: New ideas, digitization of knowledge
Cost avoidance:
Time saved, travel costs, real estate costs, carbon footprint
Replacement cost: knowledge lost by turnover/retirement
Opportunity costs: what is the cost of status quo or doing NOTHING
Returns need to be broadly defined Photo by Flickr user zieak, licensed under Creative Commons, Attribution 2.0 Generic

...we rather need many of them!
We don’t need a Web 2.0 ROI Model... Source: ROI 2.0, Part 3: We don’t need a Social Media ROI model http://aaronkim.wordpress.com/2009/02/19/roi-20-part-3-we-dont-need-a-social-media-roi-model/
There is no perfect Web 2.0 ROI model, there are only perfect Web 2.0 ROI model s .

Thank You [email_address] @jenokimoto #e2conf29

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Enterprise2.0 Conference Presentation

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Enterprise2.0 Conference Presentation — Presentation Transcript