Wikinomics - Winning With The Enterprise 2.0

Wikinomics Winning With The Enterprise 2.0 Don Tapscott [email_address] Enterprise 2.0 June 20, 2007

The New Enterprise

Structure

Scope

Resource Focus

State

Personnel/focus

Key drivers

Direction

Basis of action

Individual motivation

Learning

Basis for compensation

Relationships

Employee attitude

Dominant requirements

Source: Paradigm Shift: The New Promise of Information Technology, 1992 Hierarchical Internal/closed Capital Static, stable Managers Reward and punishment Management commands Control Satisfy superiors Specific skills Position in hierarchy Competitive (my turf) Detachment (it’s a job) Sound Management Closed Hierarchy Networked External/open Human, information Dynamic, changing Professionals Commitment Self-management Empowerment to act Achieve team goals Broader competencies Accomplishment, competence level Cooperative (our challenge) Identification (its’ my company) Leadership Open Networked Enterprise

The Rise of the Enterprise 2.0 + Standards-based Service oriented Interoperable + Inter-enterprise Intelligent Networks Proprietary Monolithic Silos Enterprise Dumb Networks 10. Technology + Relationship Capital + Experiences Transactions Product/Services 9. Relationships + Transparent Real Time Networked Intelligence Opaque Asynchronous processing Traditional BI 8. Information Liquidity + Global N-Generation Collaboration + Across the B-web Traditional Demographics Containerized Internal 7. Human Capital & Knowledge Capital External (+ Inter-enterprise Integration) Modular Reconfigurable Internal (Enterprise Integration) Complex Hardwired 6. Business Processes Engage and Collaborate Self-organizing Power through … Agile Plan and Push Hierarchical Power over … Lumbering 5. Modus Operandi + Open + Shared Proprietary Protected 4. Intellectual Property + Open Innovation + Co-Creation Closed Innovation Do it Yourself 3. Value Innovation Focused on Core Business Web Context, agency + Fasttrack Business Models Vertically Integrated Non-porous Content M&A 2. Corporate Boundaries Global Engine - China, India, Emergent Free Trade National Engine - US, Japan, Europe Protectionist 1. World View Enterprise 2.0 Closed Corporation Strategy Domain

Winning With The Enterprise 2.0

Time’s Person of the Year

Four Drivers for Change WEB 2.0 Web 2.0 The Net Generation The Social Revolution The Economic Revolution

Web 2.0 TRUE MULTIMEDIA BROADBAND MOBILITY Web 2.0 THE THING GEO-SPATIALITY WEB SERVICES INTEGRATION Web 2.0 The Net Generation The Social Revolution The Economic Revolution

Four Drivers for Change THE NET GENERATION WEB 2.0

The Demographic Revolution Web 2.0 The Net Generation The Social Revolution The Economic Revolution

Digital Natives – The Net Generation Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Generation Lap Web 2.0 The Net Generation The Social Revolution The Economic Revolution N-Geners Their Parents

The Net Generation Web 2.0 The Net Generation The Social Revolution The Economic Revolution Video available for viewing online at www.newparadigm.com

Four Drivers for Change THE SOCIAL REVOLUTION WEB 2.0 THE NET GENERATION

The Rise of Collaborative Communities vs. Flickr.com beats WebShots.com Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Rise of Collaborative Communities vs. Digg.com beats Slashdot.org Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Rise of Collaborative Communities vs. Craigslist.org beats Monster.com, Match.com Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Rise of Collaborative Communities vs. Myspace.com beats MTV.com Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Rise of Collaborative Communities vs. Wikipedia.org beats Britannica.com Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Rise of Collaborative Communities vs. Blogger.com beat CNN.com Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Rise of Collaborative Communities vs. Epinions.com vs ConsumerReports.org Web 2.0 The Net Generation The Social Revolution The Economic Revolution

Alex Tapscott’s Wikinomicists Community Web 2.0 The Net Generation The Social Revolution The Economic Revolution

Four Drivers for Change THE ECONOMIC REVOLUTION WEB 2.0 THE NET GENERATION THE SOCIAL REVOLUTION

Digital Conglomerates Web 2.0 The Net Generation The Social Revolution The Economic Revolution

The Economics of Collaboration Web 2.0 The Net Generation The Social Revolution The Economic Revolution Industrial Age Corporation Value Creation Critical Resources Physical Financial Knowledge Self- Organization Traditional Hierarchy

The Economics of Collaboration Web 2.0 The Net Generation The Social Revolution The Economic Revolution Extended Enterprise Industrial Age Corporation Value Creation Critical Resources Physical Financial Knowledge Self- Organization Traditional Hierarchy

The Economics of Collaboration Web 2.0 The Net Generation The Social Revolution The Economic Revolution Extended Enterprise Industrial Age Corporation Value Creation Critical Resources Physical Financial Knowledge Self- Organization Traditional Hierarchy Business Webs

The Economics of Collaboration Web 2.0 The Net Generation The Social Revolution The Economic Revolution Extended Enterprise Mass Collaboration Industrial Age Corporation Value Creation Critical Resources Physical Financial Knowledge Self- Organization Traditional Hierarchy Business Webs

The Enterprise 2.0 and the Rise of Mass Collaboration

Peering

Being Open

Sharing

Acting Global

Web 2.0 The Net Generation The Social Revolution The Economic Revolution

Enterprise 2.0 – New Business Models

A 50 year old mining company peers, opens, shares its proprietary data and acts globally in a bid to transform itself and explore the extent of a rich new find .

Four Drivers for Change WEB 2.0 THE NET GENERATION THE SOCIAL REVOLUTION THE ECONOMIC REVOLUTION

The Perfect Storm

Peer Pioneers

Ideagoras

Prosumers

The New Alexandrians

Open Platforms

The Global Plant Floor

The Wiki Workplace

Peer Pioneers

1. Peer Pioneers

1. Peer Pioneers – Financial Services

Enterprise 2.0 – New Business Models Marketocracy.com Investment Management

Zopa.com

peer lending

Enterprise 2.0 – New Business Models 1. Peer Pioneers – Financial Services

2. Ideagoras

Enterprise 2.0 – New Business Models How InnoCentive works:

Creating an eBay for innovation

How do you create a vibrant marketplace where you leverage other people's talents, ideas and assets quickly and move on?

P&G’s Larry Huston : “Alliances and joint ventures don't open up the spirit of capitalism within the company. They're vestiges of the central planning approach when instead you need free market mechanisms.”

Enterprise 2.0 – New Business Models 2. Ideagoras

3. Prosumers

3. Prosumers – Case: “Music Industry–The Remix”

3. Prosumers – Help Us Write the Final Chapter!

3. Prosumers – Physical Goods

Enterprise 2.0 – New Business Models Peer Produced T-Shirts

SNP Consortium: APBiotech, AstraZeneca Group PLC, Aventis, Bayer Group AG, Bristol-Myers Squibb Co., F. Hoffmann-La Roche, Glaxo SmithKline , Wellcome Trust , IBM, Motorola, Novartis AG, Pfizer Inc., and Searle

4. The New Alexandrians: The Sharing of Science

Enterprise 2.0 – New Business Models 4. The New Alexandrians: Nature’s Google Earth Avian Flu Mashup Source: Howard Ratner, CTO, Nature Publishing Group

5. Open Platforms – Amazon API

5. Open Platforms – Pikspot

The Peer Produced Airplane

In the past, Boeing wrote detailed specifications for each part and asked suppliers to build to plan

Today, suppliers co-design airplanes from scratch and deliver complete sub-assemblies to Boeing’s factory, where a single plane can be snapped together like Lego blocks, in as little as 3 days

Enterprise 2.0 – New Business Models 6. The Global Plant Floor

Enterprise 2.0 – New Business Models 6. The Global Plant Floor – Chinese Motorcycle Industry

Enterprise 2.0 – New Business Models 7. The Wiki Workplace

Peer Pioneers

Ideagoras

Prosumers

The New Alexandrians

Open Platforms

The Global Plant Floor

The Wiki Workplace

Crisis of Leadership Paradigm shifts involve dislocation, conflict, confusion, uncertainty. New paradigms are nearly always received with coolness, even mockery or hostility. Those with vested interests fight the change. The shift demands such a different view of things that established leaders are often last to be won over, if at all. Marilyn Ferguson