Can Enterprise 2.0 drive profits & shareholder value? A look at the relationship between Enterprise 2.0, employees and an improved bottom line

Reasons for Enterprise 2.0 grow revenue improve employee productivity reduce costs gain competitive advantage meet compliance requirements Source : Nemertes Research 2007

grow revenue

improve employee productivity

reduce costs

gain competitive advantage

meet compliance requirements

Some Benefits of Enterprise 2.0 measurably increased knowledge retention higher levels of productivity reduced employee turnover enhanced communication Source : Dion Hincliffe via Stephen Collins AcidLabs

measurably increased knowledge retention

higher levels of productivity

reduced employee turnover

enhanced communication

“ Loyal employees in any company create loyal customer, who in turn create happy shareholders. The process sounds easy but it's not, and it has defeated some of the bigger organisations of the twentieth century” - Sir Richard Branson, Chairman, Virgin Group

“ Loyal employees in any company create loyal customer, who in turn create happy shareholders.

The process sounds easy but it's not, and it has defeated some of the bigger organisations of the twentieth century”

- Sir Richard Branson, Chairman, Virgin Group

$A30 billion annually 20% Actively Disengaged 62% Not Engaged Source : " One in five workers actively disengaged " by Joyce Moullakis, Australian Financial Review, 30 March 2005

14% 6% Source : “ Does the Stock Market Fully Value Intangible? Employee Satisfaction and Equity Prices”, Alex Edmans Wharton School December 2007 vs

20% vs 0% 22% vs 14% $276K vs $236K Source : “ 2007/2008 Global WorkAttitudes Report " Watson Wyatt Worldwide

Communication Compensation & Benefits Customer Focus Strategic Direction & Leadership Source : “ 2007/2008 Global WorkAttitudes Report " Watson Wyatt Worldwide

Source : “ 2007/2008 Communication ROI Study " Watson Wyatt Worldwide 91% vs 62% 15.7% Four Times

Give employees the opportunity to provide input into decisions that affect them Promoting a culture that supports information sharing Source : “ 2007/2008 Communication ROI Study " Watson Wyatt Worldwide

Give employees the opportunity to provide input into decisions that affect them

Promoting a culture that supports information sharing

15% - 150%

Dow uses social network to connect retires, employees on leave & current employees. Linking to job opportunities to reduce recruitment costs Extend employment of baby boomers In 3 months 25,000 referrals posted, 24 full time jobs & 40 contract jobs filled Source : “ Case Study: Dow’s Formula for Social Software , Gartner, 27 March 2008

Dow uses social network to connect retires, employees on leave & current employees.

Linking to job opportunities to reduce recruitment costs

Extend employment of baby boomers

In 3 months 25,000 referrals posted, 24 full time jobs & 40 contract jobs filled