KMWorld Presentation Managing Expertise at Deloitte: A Key Focus for KM Stuart M. Rosenberg Deloitte Services, LP [email_address] November 8, 2007

Agenda Benefits/Results Product Summaries: iConnect and D Street Business Issues Addressed Tool Overview Factors to Consider Deloitte in Context Nature and Complexity of Work Deloitte’s Connections Model: Theory and Practice

Benefits/Results

Product Summaries: iConnect and D Street

Business Issues Addressed

Tool Overview

Factors to Consider

Deloitte in Context

Nature and Complexity of Work

Deloitte’s Connections Model: Theory and Practice

Deloitte’s Reach Global Profile: Nearly 150,000 people More than 140 country-based practices FY07 Revenues of US$23 billion** U.S. Profile: Nearly 42,000 people in the Deloitte U.S. Firms Offices in more than 90 cities FY06 Revenues of US$8.8 billion Total Revenues (US$billion) U.S. Global Fiscal Year 2004 $6.88 $16.2 Fiscal Year 2005 $7.81 $18.2 Fiscal Year 2006 $8.77 $20.0 Fiscal Year 2007 $22.5** Deloitte is a true knowledge organization. Our most important assets walk out the door every night **projected

Global Profile:

Nearly 150,000 people

More than 140 country-based practices

FY07 Revenues of US$23 billion**

U.S. Profile:

Nearly 42,000 people in the Deloitte U.S. Firms

Offices in more than 90 cities

FY06 Revenues of US$8.8 billion

A Wide Range of Functions and Services Attest Services Global Offering Services Corporate Governance Services Other Advisory Services Internal Audit Services Security Services Control Assurance Services Regulatory Consulting Services Capital Markets Services Lead Tax Services Global Employment and Individual Solutions Tax Management Advisory Services Transfer Pricing Local/Multistate Tax Indirect Tax/Customs Transactional Tax International Tax Comprehensive Tax Solutions Tax Outsourcing CORP Tax Legal Services (in certain countries) Immigration Services Translation Services Mergers & Acquisitions Corporate Finance Forensic & Dispute Services Reorganization Services Valuation Services Strategy and Operations Human Capital Enterprise Applications Technology Integration Outsourcing Enterprise Cost Reduction Tax Aligned Supply Chain Revenue Enhancement HR Delivery Transformation Extended Enterprise Privacy Sarbanes-Oxley Internal Control Readiness Enterprise Portal Offering Post-Merger Integration Consulting Financial Advisory Services Tax and Legal Assurance & Enterprise Risk Services Integrated Market Offerings Each requires different types of KM support

Attest Services

Global Offering Services

Corporate Governance Services

Other Advisory Services

Internal Audit Services

Security Services

Control Assurance Services

Regulatory Consulting Services

Capital Markets Services

Lead Tax Services

Global Employment and Individual Solutions

Tax Management Advisory Services

Transfer Pricing

Local/Multistate Tax

Indirect Tax/Customs

Transactional Tax

International Tax

Comprehensive Tax Solutions

Tax Outsourcing

CORP Tax

Legal Services (in certain countries)

Immigration Services

Translation Services

Mergers & Acquisitions

Corporate Finance

Forensic & Dispute Services

Reorganization Services

Valuation Services

Strategy and Operations

Human Capital

Enterprise Applications

Technology Integration

Outsourcing

Enterprise Cost Reduction

Tax Aligned Supply Chain

Revenue Enhancement

HR Delivery Transformation

Extended Enterprise

Privacy

Sarbanes-Oxley Internal Control Readiness

Enterprise Portal Offering

Post-Merger Integration

Connecting People to What Matters Source: “It’s 2008: Do You Know Where your Talent Is? Connecting People to What Matters” by Robin Athey, Deloitte Research Director

A Structured Path to Enable People Connections iConnect (Year 1) Focus: Person-to-Expertise Year 2: Talent Networking Focus: Person-to-Colleagues Focus: Person-to-Affiliated Groups Year 3: Social Networking Analysis Focus: Powerful Tools & Analytics to Enhance & Optimize Personal Networks

iConnect: Seeking connections is nothing new Evolution of Approaches* Typical Focus Outcome Water-cooler Individuals; Simple; Office-based networking Local Clarity; Who you know Limited Business (service) directories Dispersed groups; Less clarity; Leadership listings Silo- or Entity- Limit & aging of “ Yellow Pages” oriented information Skills matrices Cross-silo/-entity focus; Little clarity; Business issue matrices Manually updated Uncertain Ask-the-Network (or not quality of “ Six Degrees of Separation” updated!) connection Automated Expertise Locator Individuals; Simple; Silo- / Entity- Clarity; agnostic; Far-reaching; Fully Automated Connection Quality * Abbreviated! From: Discussions with John Callahan, Deloitte Services, U.S. Firms Chief Knowledge Officer

Evolution of Approaches* Typical Focus Outcome

Water-cooler Individuals; Simple;

Office-based networking Local Clarity;

Who you know Limited

Business (service) directories Dispersed groups; Less clarity;

Leadership listings Silo- or Entity- Limit & aging of

“ Yellow Pages” oriented information

Skills matrices Cross-silo/-entity focus; Little clarity;

Business issue matrices Manually updated Uncertain

Ask-the-Network (or not quality of

“ Six Degrees of Separation” updated!) connection

Automated Expertise Locator Individuals; Simple;

Silo- / Entity- Clarity;

agnostic; Far-reaching;

Fully Automated Connection Quality

iConnect: Shotgun or rifle? Business Issue: Is there a better way to connect suppliers and customers of knowledge?

iConnect - Internal Expertise Locator Profile Creation Emails are analyzed Nouns phrases extracted and ranked Personal, Private “Topic portfolio” developed for each employee Information Request Search for topic matches (unexpected are more valuable!) Craft wrapper email Blind Brokering Recipients are not identified to requestor Requestor is identified to recipients Follow-on interactions Email, IM, Webconferencing, Telephone, Face-to-Face Fully automated profiles combined with brokering approach are the keys

Profile Creation

Emails are analyzed

Nouns phrases extracted and ranked

Personal, Private “Topic portfolio” developed for each employee

Information Request

Search for topic matches (unexpected are more valuable!)

Craft wrapper email

Blind Brokering

Recipients are not identified to requestor

Requestor is identified to recipients

Follow-on interactions

Email, IM, Webconferencing, Telephone, Face-to-Face

iConnect: Search terms return topics

iConnect : Topics determine recipients

iConnect: Considerations Risk management Does the project support or challenge current policies? Infrastructure Interacting with corporate email is a 5-alarm event! Privacy/Confidentiality Top of mind, but balanced approach Culture/Trust How will the average employee perceive the tool? Communications Simplify, Simplify, Simplify Business Process “ Over there” is nowhere

Risk management

Does the project support or challenge current policies?

Infrastructure

Interacting with corporate email is a 5-alarm event!

Privacy/Confidentiality

Top of mind, but balanced approach

Culture/Trust

How will the average employee perceive the tool?

Communications

Simplify, Simplify, Simplify

Business Process

“ Over there” is nowhere

D Street: “That Facebook © Thing” Who are the people in Deloitte who… … . are participating in my meeting tomorrow? … . are thinking about how accounting treatments for greenhouse gas emissions can extend Deloitte's Enterprise Sustainability Integrated Market Offering? … . have worked at Client X prior to joining Deloitte? … . are University of Chicago graduates and can assist with our recruiting efforts there? … . are working on projects in Dallas and training for a marathon? … . do volunteer work with cancer patients? … . have recently read The Strategy Paradox … . would like to join an informal jazz quartet? … . have vacationed in Costa Rica? … . have leveraged a reduced work schedule? Business Issue: How do you enable meaningful connections between 42,000 people?

Who are the people in Deloitte who…

… . are participating in my meeting tomorrow?

… . are thinking about how accounting treatments for greenhouse gas emissions can extend Deloitte's Enterprise Sustainability Integrated Market Offering?

… . have worked at Client X prior to joining Deloitte?

… . are University of Chicago graduates and can assist with our recruiting efforts there?

… . are working on projects in Dallas and training for a marathon?

… . do volunteer work with cancer patients?

… . have recently read The Strategy Paradox

… . would like to join an informal jazz quartet?

… . have vacationed in Costa Rica?

… . have leveraged a reduced work schedule?

D Street: A Definition Essentially, our D Street effort is a “mash-up”: People Directory People Profiles People Expertise People Presence Awareness People Affiliations People Personalities People Interests People Perspectives People Contributions Why mash these up? Build stronger relationships More rapid on-boarding and affiliation Improve collaboration Demonstrate the diversity of our talent Improve people-to-people connectivity Create competitive advantage It’s bordering on being overdue.

Essentially, our D Street effort is a “mash-up”:

People Directory

People Profiles

People Expertise

People Presence Awareness

People Affiliations

People Personalities

People Interests

People Perspectives

People Contributions

Why mash these up?

Build stronger relationships

More rapid on-boarding and affiliation

Improve collaboration

Demonstrate the diversity of our talent

Improve people-to-people connectivity

Create competitive advantage

It’s bordering on being overdue.

D Street: Cover the Basics, but Highlight the Cool Business Basics (Required) Name, Role, Contact information Proposal-worthy professional photo(s) Proposal-worthy professional CV(s) Office, function, practice, start date Personal Basics (Voluntary) Hometown, Birthday Family profile Business Cool (Encouraged) Education/alumni connections Group affiliations Cross-links to contributed knowledge Communities of interests (link to homepage/blog) Presence awareness (online & physical location) iConnect connected areas of expertise Personal Cool (Voluntary) My recommendations, play lists, favorites My blog My content, photos, podcasts, videos My nightstand reading My beverage of choice My close colleagues (including photos and links to their profiles Most information is voluntary, but participation is encouraged

Business Basics (Required)

Name, Role, Contact information

Proposal-worthy professional photo(s)

Proposal-worthy professional CV(s)

Office, function, practice, start date

Personal Basics (Voluntary)

Hometown, Birthday

Family profile

Business Cool (Encouraged)

Education/alumni connections

Group affiliations

Cross-links to contributed knowledge

Communities of interests (link to homepage/blog)

Presence awareness (online & physical location)

iConnect connected areas of expertise

Personal Cool (Voluntary)

My recommendations, play lists, favorites

My blog

My content, photos, podcasts, videos

My nightstand reading

My beverage of choice

My close colleagues (including photos and links to their profiles

D Street: My Profile Business Basics Personal Basics Personal Cool

D Street: My Profile – Scrolling down…. Business Cool Personal Cool

D Street: Considerations Get ready for the spotlight Cultural norms and challenges to those are now center stage Policies must be robust enough to withstand scrutiny Respect for diversity All aspects and attributes of your talent Allowance for honest dialog Professional discussion encouraged…but how far? Trust in professionalism and judgment Link squarely to their “personal brand” Moderation approach How will you identify when people have crossed the lines…even when the lines are necessarily grey?

Get ready for the spotlight

Cultural norms and challenges to those are now center stage

Policies must be robust enough to withstand scrutiny

Respect for diversity

All aspects and attributes of your talent

Allowance for honest dialog

Professional discussion encouraged…but how far?

Trust in professionalism and judgment

Link squarely to their “personal brand”

Moderation approach

How will you identify when people have crossed the lines…even when the lines are necessarily grey?

Benefits to Connecting Expertise and Enabling Connections Five reasons to focus on people’s networks and the quality of their relationships: Complexity. As jobs become more complex, people are increasingly dependent on one another. Learning. People learn and create knowledge largely through their interactions with one another. Decision-making. Leaders make the most effective decisions when they engage stakeholders in respectful ways. Energy. High-quality interactions create energy. Toxic interactions and conflict avoidance sap energy. Innovation. Innovators cultivate richer and more diverse networks than their less innovative counterparts. Source: “It’s 2008: Do You Know Where your Talent Is? Connecting People to What Matters” by Robin Athey, Deloitte Research Director

Five reasons to focus on people’s networks and the quality of their relationships:

Complexity. As jobs become more complex, people are increasingly dependent on one another.

Learning. People learn and create knowledge largely through their interactions with one another.

Decision-making. Leaders make the most effective decisions when they engage stakeholders in respectful ways.

Energy. High-quality interactions create energy. Toxic interactions and conflict avoidance sap energy.

Innovation. Innovators cultivate richer and more diverse networks than their less innovative counterparts.

Contact information Stuart Rosenberg – [email_address] If you would like more information on Deloitte Research reports on the subject of Talent Management Search for the term “connect” on www.deloitte.com Listen to the podcast “Authentic Edge: Getting it Right with Gen Y” on www.deloitte.com

Stuart Rosenberg – [email_address]

If you would like more information on Deloitte Research reports on the subject of Talent Management

Search for the term “connect” on www.deloitte.com

Listen to the podcast “Authentic Edge: Getting it Right with Gen Y” on www.deloitte.com

Reference: Vendors and Applications iConnect Tacit Software ( www.tacitsoftware.com ) ActiveNet D Street Microsoft ( www.microsoft.com/sharepoint2007 ) Microsoft Office Sharepoint Server 2007: Team Sites

iConnect

Tacit Software ( www.tacitsoftware.com )

ActiveNet

D Street

Microsoft ( www.microsoft.com/sharepoint2007 )

Microsoft Office Sharepoint Server 2007: Team Sites

About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu, a Swiss Verein, its member firms and their respective subsidiaries and affiliates. Deloitte Touche Tohmatsu is an organization of member firms around the world devoted to excellence in providing professional services and advice, focused on client service through a global strategy executed locally in nearly 140 countries. With access to the deep intellectual capital of approximately 135,000 people worldwide, Deloitte delivers services in four professional areas, audit, tax, consulting and financial advisory services, and serves more than 80 percent of the world’s largest companies, as well as large national enterprises, public institutions, locally important clients, and successful, fast-growing global growth companies. Services are not provided by the Deloitte Touche Tohmatsu Verein and, for regulatory and other reasons, certain member firms do not provide services in all four professional areas. As a Swiss Verein (association), neither Deloitte Touche Tohmatsu nor any of its member firms has any liability for each other’s acts or omissions. Each of the member firms is a separate and independent legal entity operating under the names “Deloitte”, “Deloitte & Touche”, “Deloitte Touche Tohmatsu” or other related names. In the United States, Deloitte & Touche USA LLP is the U.S. member firm of Deloitte Touche Tohmatsu and services are provided by the subsidiaries of Deloitte & Touche USA LLP (Deloitte & Touche LLP, Deloitte Consulting LLP, Deloitte Financial Advisory Services LLP, Deloitte Tax LLP, and their subsidiaries), and not by Deloitte & Touche USA LLP. The subsidiaries of the U.S. member firm are among the nation’s leading professional services firms, providing audit, tax, consulting, and financial advisory services through nearly 40,000 people in more than 90 cities. Known as employers of choice for innovative human resources programs, they are dedicated to helping their clients and their people excel. For more information, please visit the U.S. member firm’s Web site at www.deloitte.com. Copyright © 2007 Deloitte Development LLC. All rights reserved. DCS321745