“Delivering the public spending cuts facing the new Government will not be easy. But those who argue it will be impossible without slashing services should take a look at BT.” - David Wighton Business and City Editor, The Times May 2010
Service design consultancy Fjord presents its annual trends predictions, showcasing 10 trends that will shape digital services in 2013. This year’s report forecasts the major shifts that will impact the way we work and live, and offers practical advice to help business leaders interpret the opportunities that lie ahead.
This presentation explores the new ways we are working and the implications for business and for workers. Each theme has 4 trends and each trend is supported by 4 examples, supporting statistics and implications defined by PSFK Labs team.
BT On The Productivity Puzzle in CollaborationLeon Benjamin
Leon Benjamin, Sei Mani's co-founder contributes to its strategic partner BT' and its perspective on the value of collaboration in the enterprise.
As a concept, mobile and flexible working is nothing new and the idea of where people work has widened to pretty much anywhere. The issue is no longer ‘where’ people work, the question we’re now asking is ‘how’ people work.
SMAC and Innovation Transformation covers the topics:
• Innovation
• Leadership Agility
• Leading Organizational Change
• Lean Startup Principles
• SMAC and the Transformation of Innovation
‘Digital natives’ are people who have access to all aspects of information and communication technology right from their childhood. They eagerly explore the astonishing potential of novel technology to revamp the world around them. Highly sophisticated skills are essential to face the challenges posed by interminable escalation of virtual interactive experiences. Harmoniously designed life skill education is the need of the time to tackle such crisis effectively. This study analyses specific characteristics of and issues in the life of digital natives. Also put forward certain practical suggestions to help structural and procedural modification for life skill education.
Service design consultancy Fjord presents its annual trends predictions, showcasing 10 trends that will shape digital services in 2013. This year’s report forecasts the major shifts that will impact the way we work and live, and offers practical advice to help business leaders interpret the opportunities that lie ahead.
This presentation explores the new ways we are working and the implications for business and for workers. Each theme has 4 trends and each trend is supported by 4 examples, supporting statistics and implications defined by PSFK Labs team.
BT On The Productivity Puzzle in CollaborationLeon Benjamin
Leon Benjamin, Sei Mani's co-founder contributes to its strategic partner BT' and its perspective on the value of collaboration in the enterprise.
As a concept, mobile and flexible working is nothing new and the idea of where people work has widened to pretty much anywhere. The issue is no longer ‘where’ people work, the question we’re now asking is ‘how’ people work.
SMAC and Innovation Transformation covers the topics:
• Innovation
• Leadership Agility
• Leading Organizational Change
• Lean Startup Principles
• SMAC and the Transformation of Innovation
‘Digital natives’ are people who have access to all aspects of information and communication technology right from their childhood. They eagerly explore the astonishing potential of novel technology to revamp the world around them. Highly sophisticated skills are essential to face the challenges posed by interminable escalation of virtual interactive experiences. Harmoniously designed life skill education is the need of the time to tackle such crisis effectively. This study analyses specific characteristics of and issues in the life of digital natives. Also put forward certain practical suggestions to help structural and procedural modification for life skill education.
Analysis of Online Comments (BEO) is a research model developed jointly by Corporate Excellence – Centre for Reputation Leadership and Llorente & Cuenca in order to analyse the impact of Internet communication on corporate reputation. The analysis is based on the study of relevant comments made by different members of the public about a company on the Internet.
Since the model supports complicated computations, it enables us to interpret the data almost in real time, not only information provided by structured databases, but also unstructured data that account for 80% of existing information. These include medical images, video streaming, conversations, pictures taken with mobile phones, etc. Our capacity to interpret this vast new natural resource leads to interesting conclusions, considerations and decisions. Therefore, it is possible to say that The Online Comments Report is a strategic tool that may be used for corporate positioning on the Internet based on the analysis of data gathered throughout the year rather than a tool for monitoring in real time.
Reputation is a set of collective evaluations evoked by an organisation in its stakeholders that drive valuegenerating behaviours. Thus, it is clear that an organisation’s reputation does not exist online. Instead, it exists in the minds of people who are stakeholders of the company. Given this definition, we understand that on the Internet we find comments about a company shared by stakeholders in the different online networks. These comments may affect evaluations made about the company. In other words, in the term online reputation, online is the cause and source, and reputation is the effect or result.
Grib mulighederne med seneste IT trends- få Microsoft overblikket og nyhederneMicrosoft
Den markante digitale udvikling og nye mega trends skaber spændende muligheder for dig som IT ansvarlig. Grib muligheder inden for Produktivitet, Cloud, Big Data, Enterprise Social og Forretningsapplikationer, så du sikrer at IT understøtter forretningen og løbende er på forkant med udviklingen. Kom og hør hvordan Microsoft med sin samlede pallette af løsninger mener, at kunne hjælpe dig med at løfte din virksomhed ind i fremtiden. Der er altid nye muligheder med de nyeste løsninger. Teknologi Direktør Ole Kjeldsen vil i samarbejde med Microsofts løsningsansvarlige sætte scenen for Microsoft Next. Få et indblik i løsningernes sammenhæng og se demonstrationer af de nyeste elementer.
This document is a property of Microsoft Corporation.
Microsoft is defining a connected and forward-looking enterprise, the successful enterprise of the future.
In the global business, there are producers as product sellers and consumers as product purchasers. These two people are interdependent; the business does not exist or successful if there is no one between them. Producers require consumers to purchase products to sell, so consumers require producers to satisfy their needs. Manufacturers sell goods at a market place, and when consumers want to buy their needs, they go to the market place. These have occurred hundreds or even thousands of years since the starting of business when technology not yet improved. When technology improved, affects the development business system. Currently, information technology is advancing very fast so that it is difficult to avoid it’s development. The advancement of information technology not only assist people’s life to become better every day but also support the global business.
IMPACT OF COMPUTING ON HUMANITY (IN EVERY ASPECT: DOMESTIC, SOCIAL AND PROFES...Rauf Khalid
IMPACT OF COMPUTING ON HUMANITY (IN EVERY ASPECT: DOMESTIC, SOCIAL AND PROFESSIONALLY) RELATING FROM IT TO CS TO SE.
Definition – What does Computing mean?
Computing is the process of using computer technology to complete a given goal-oriented task.
Disruptive intermediaries - looking to start-ups to find innovative digital ...Ben Gilchriest
Digital Disruption is reshaping the business world, challenging established business models and making many time-tested formulas for success obsolete. If old business models are obsolete, then where are the new, emergent business models coming from? This paper looks to the start-up community to see what large enterprises can learn from the successful, repeatable digital business models these companies have created. Based on extensive research we explore and define these models and how incumbent businesses can apply them to gain a market advantage.
Four technology super trends and their impact on banking: digital society, big data, everithing joins up, integrity and security.
Customer: convinience, safety, personalization
A Curated Conversation on Digital Inclusion held at Sheffield Hallam University January 17th 2012
Early slides individual comments, later slides summary and policy recommendations
Managing mobile devices proactively depends on more than the tools — such as mobile device management — that offer a “silver bullet” for the onslaught of mobile support requests. IT has two choices: 1) work to patch and fix by continually amending policies and myopic infrastructure or 2) establish a stance rooted in control over the devices in place today and those likely to be requested tomorrow and well into a multi-device, connected future.
Solving this problem and establishing control is an issue not only of the proper technology but key relationships across the organization, informed and enforceable policy, and a multi-part technology stack to operationalize said policy. We call this the mobile control plane, a complex but critical layer of support that serves as the foundation for enterprise mobile rollouts that’s lacking in most companies today.
1) 2014년 현재 디지털 커뮤니케이션 분야에서 중요하게 되짚어봐야 할 이슈와 논제들 10가지
2) 고객 의사 결정 과정(Customer Decision Journey)에 상응하는 디지털 마케팅 프로그램과 활동 예시
3) 디지털은 마케팅과 비즈니스에 어떠한 기여를 할 수 있는가?
My presentation at the inaugural Edge of the Web conference in Perth, Western Australia on 6 November 2008.
An introduction to Enterprise 2.0/Web 2.0 and then a look at business benefits plus a very quick look at a couple of case studies.
It shares significant content with my earlier E2.0 talk, but is tighter and more focused.
A full transcript is at http://www.acidlabs.org/2008/11/19/enterprise-20-a-new-age-of-aquarius/
Leeds business week competitive edge with linked in yorkshire mafia #leedsb...Jonny Ross
My seminar at #LeedsBizWeek for the Yorkshire Mafia for Leeds Business week, on how to get the competitive edge on LinkedIn.
From making connections, growing your list, creating trust and more!
Analysis of Online Comments (BEO) is a research model developed jointly by Corporate Excellence – Centre for Reputation Leadership and Llorente & Cuenca in order to analyse the impact of Internet communication on corporate reputation. The analysis is based on the study of relevant comments made by different members of the public about a company on the Internet.
Since the model supports complicated computations, it enables us to interpret the data almost in real time, not only information provided by structured databases, but also unstructured data that account for 80% of existing information. These include medical images, video streaming, conversations, pictures taken with mobile phones, etc. Our capacity to interpret this vast new natural resource leads to interesting conclusions, considerations and decisions. Therefore, it is possible to say that The Online Comments Report is a strategic tool that may be used for corporate positioning on the Internet based on the analysis of data gathered throughout the year rather than a tool for monitoring in real time.
Reputation is a set of collective evaluations evoked by an organisation in its stakeholders that drive valuegenerating behaviours. Thus, it is clear that an organisation’s reputation does not exist online. Instead, it exists in the minds of people who are stakeholders of the company. Given this definition, we understand that on the Internet we find comments about a company shared by stakeholders in the different online networks. These comments may affect evaluations made about the company. In other words, in the term online reputation, online is the cause and source, and reputation is the effect or result.
Grib mulighederne med seneste IT trends- få Microsoft overblikket og nyhederneMicrosoft
Den markante digitale udvikling og nye mega trends skaber spændende muligheder for dig som IT ansvarlig. Grib muligheder inden for Produktivitet, Cloud, Big Data, Enterprise Social og Forretningsapplikationer, så du sikrer at IT understøtter forretningen og løbende er på forkant med udviklingen. Kom og hør hvordan Microsoft med sin samlede pallette af løsninger mener, at kunne hjælpe dig med at løfte din virksomhed ind i fremtiden. Der er altid nye muligheder med de nyeste løsninger. Teknologi Direktør Ole Kjeldsen vil i samarbejde med Microsofts løsningsansvarlige sætte scenen for Microsoft Next. Få et indblik i løsningernes sammenhæng og se demonstrationer af de nyeste elementer.
This document is a property of Microsoft Corporation.
Microsoft is defining a connected and forward-looking enterprise, the successful enterprise of the future.
In the global business, there are producers as product sellers and consumers as product purchasers. These two people are interdependent; the business does not exist or successful if there is no one between them. Producers require consumers to purchase products to sell, so consumers require producers to satisfy their needs. Manufacturers sell goods at a market place, and when consumers want to buy their needs, they go to the market place. These have occurred hundreds or even thousands of years since the starting of business when technology not yet improved. When technology improved, affects the development business system. Currently, information technology is advancing very fast so that it is difficult to avoid it’s development. The advancement of information technology not only assist people’s life to become better every day but also support the global business.
IMPACT OF COMPUTING ON HUMANITY (IN EVERY ASPECT: DOMESTIC, SOCIAL AND PROFES...Rauf Khalid
IMPACT OF COMPUTING ON HUMANITY (IN EVERY ASPECT: DOMESTIC, SOCIAL AND PROFESSIONALLY) RELATING FROM IT TO CS TO SE.
Definition – What does Computing mean?
Computing is the process of using computer technology to complete a given goal-oriented task.
Disruptive intermediaries - looking to start-ups to find innovative digital ...Ben Gilchriest
Digital Disruption is reshaping the business world, challenging established business models and making many time-tested formulas for success obsolete. If old business models are obsolete, then where are the new, emergent business models coming from? This paper looks to the start-up community to see what large enterprises can learn from the successful, repeatable digital business models these companies have created. Based on extensive research we explore and define these models and how incumbent businesses can apply them to gain a market advantage.
Four technology super trends and their impact on banking: digital society, big data, everithing joins up, integrity and security.
Customer: convinience, safety, personalization
A Curated Conversation on Digital Inclusion held at Sheffield Hallam University January 17th 2012
Early slides individual comments, later slides summary and policy recommendations
Managing mobile devices proactively depends on more than the tools — such as mobile device management — that offer a “silver bullet” for the onslaught of mobile support requests. IT has two choices: 1) work to patch and fix by continually amending policies and myopic infrastructure or 2) establish a stance rooted in control over the devices in place today and those likely to be requested tomorrow and well into a multi-device, connected future.
Solving this problem and establishing control is an issue not only of the proper technology but key relationships across the organization, informed and enforceable policy, and a multi-part technology stack to operationalize said policy. We call this the mobile control plane, a complex but critical layer of support that serves as the foundation for enterprise mobile rollouts that’s lacking in most companies today.
1) 2014년 현재 디지털 커뮤니케이션 분야에서 중요하게 되짚어봐야 할 이슈와 논제들 10가지
2) 고객 의사 결정 과정(Customer Decision Journey)에 상응하는 디지털 마케팅 프로그램과 활동 예시
3) 디지털은 마케팅과 비즈니스에 어떠한 기여를 할 수 있는가?
My presentation at the inaugural Edge of the Web conference in Perth, Western Australia on 6 November 2008.
An introduction to Enterprise 2.0/Web 2.0 and then a look at business benefits plus a very quick look at a couple of case studies.
It shares significant content with my earlier E2.0 talk, but is tighter and more focused.
A full transcript is at http://www.acidlabs.org/2008/11/19/enterprise-20-a-new-age-of-aquarius/
Leeds business week competitive edge with linked in yorkshire mafia #leedsb...Jonny Ross
My seminar at #LeedsBizWeek for the Yorkshire Mafia for Leeds Business week, on how to get the competitive edge on LinkedIn.
From making connections, growing your list, creating trust and more!
This basic slide presentation introduces Competitive EDGE Strategy and the Net EDGE Score - a single metric to gauge a company's future profit premium.
Doing Business as Unusual - We have entered an age of ‘business as unusual’. This is an age where business environments
are less predictable, controllable and certain; where strategies become more organic, less linear,
chaotic and emergent; where customer behaviour is social, connected and viral. This is both an
exciting and a scary time because the fundamentals of business as usual are being challenged.
Businesses are generally built to last rather than to change. The result is that we tend to use
new technologies to reinforce old ways of doing things.
White Paper: Understanding the Networked Society – new logics for an age of e...Ericsson
Technology has the potential to transform how we organize our lives, businesses and societies. But if the era we are now entering is to be more inclusive, equitable and empowering, we must start by examining the fundamentally different nature of a physical world fueled by digital connectivity.
The Next Normal Digital Transformation In A Post-pandemic FutureSeta Wicaksana
Technology offers businesses across industries incredible potential to engage with people around the world at a moment’s notice. Prior to the pandemic, many organizations were just beginning to see the potential that many of these capabilities offered their businesses. However, when in-person meetings and work were limited in response to Covid-19, they quickly realized just how powerful technology can be. The pandemic helped to accelerate digital transformation and created a landscape that will continue to encourage innovation and technological adoption moving forward. As businesses begin to better understand the capabilities of these types of modern technology, they will also begin to understand the opportunities that lie before them, even after the pandemic is over.
Digital transformation is more necessary during this crisis, not less. But that doesn’t mean it will look the same as it did before the pandemic. Resources—both in terms of talent and money—will likely be constrained. Digital initiatives may need to be reprioritized based on relevance in the current environment. New problems and opportunities may come to light with greater urgency. For some businesses, the forces of disruption may be so great that the long-term strategic vision will need to be overhauled. And any digital transformation roadmap that does not deliver value at every increment will need to be reimagined. The key is continuing to experiment and innovate with digital solutions front and center. With the right approach, businesses can come out of the fray stronger, more agile, and more customer-centric than before. Foremost, digitisation is accelerating. To lead in the post-COVID-19 world.
There will be no “return to normal”. The coronavirus is permanently reshaping the way we live and work. Some of the behaviors developed in crisis—including wide-scale digital adoption—will outlast the pandemic, well after restrictions on activity are lifted. To stay competitive, organizations must respond to these behavioral changes and meet emerging customer demands. Savvy organizations will focus now on leveraging advanced analytics to extract insights from their customer data and continue internal and external data integration efforts to develop a more holistic view. Detecting those signals of change early will be crucial to optimizing the customer experience and redefining customer value propositions in line with evolving preferences and needs.
Digitalization, as we call it today, is sweeping across every aspect of our daily lives in all possible ways. The impact of digital technologies is prevalent in every spectrum of our lives and consequently the current era is also termed as the “digital age”. The process of digitalization started some five decades back with the advent of computing technologies and digital electronics. Today digitalization can be seen as a tool of transformation which extends beyond our lifestyle to the way we transact, interact and conduct business. Across all sectors, be this communication, media, healthcare, retail and manufacturing, we are increasingly seeing the use of digital technology. The landscape of this digital age is increasingly being driven by innovations in e-communications, e-commerce and ever-increasing deployment of the internet to create economies based on high technology, massive communication, knowledge creation and innovation. It is important to understand and appreciate the factors that are ushering in such changes and how these are impacting the modern-day business.
The aim of this study to understand the digitalization, progress of Canada in Digital transformation and to get better insight about digital banking in Canada.
Why today’s businesses need enterprise socialMicrosoft
People today are more connected than ever before. The growth
of mobile devices such as smartphones and tablets, combined
with the rise of social technologies such as Facebook, Twitter,
and LinkedIn, has turned the world into a global community
that gives users instant access to information, makes it easy
for them to communicate about everything from products to
politics, and facilitates collective action. Technology makes it
easier than ever to tap into the human network.
Digital Marketing and "Virtual Touch" TechnologyCharmian Solter
The reach and effectiveness of digital marketing caused a decline in the usage of traditional marketing channels, including face-to-face interaction, paving the way for “virtual touch,” social media platforms, video marketing, and real-time chat applications to address consumer demand for authenticity and engagement in today’s digital marketplace.
Success in the "Pull Economy" means understanding that a number of significant business principles have changed. In a hyper connected world information flows much faster and more freely. Organisations as a result are subjected to a growing level of collective intelligence and value creation from outside the company's walls brought on by the increased collaboration of customer/consumers, consumers, employees and suppliers in what is now a much larger ecosystem of data, conversation, innovation and participation. There needs to be a knowledge framework to help companies manage this transformational change and maximise as much value from it in a way that benefits the business and the customer/consumer.
The Effectiveness of Internet Marketing in Increasing the Reach and Awareness...Dr. Amarjeet Singh
The present research seeks to expound the effective
of Internet marketing in increasing the read and awareness of
consumers. Impatient the research conducted a good review
about the privies literature related to the study. It leads a brief
idea of the study before articulating the statement of the
problem. From the statement of the problem deducting the
researcher found that the social media , mobile apps and
internet marketing have Promina impact with the
effectiveness and in cornering the awareness of the consumer
.hence the research subdivided the research problem into four
different objective such translates the formation of the study
states that these is no significant relationship between level of
effectiveness and level of utilization of internet marketing on
consumer in kingdom of Bahrain . Further the research
employs multiple methodologies to a new conclusion on the
particular issue, the study used convening sampling method
combined with the spss software for data analyse.
The study aims to assess the Effectiveness of Internet
in Business to increase reach and awareness among consumers
in Bahrain. Data and correspondence innovation has changed
quickly in the previous 20 years with a key advancement being
the development of online networking. Business, which does
not utilize internet-based life, tends to lose on key client
base. The rise of social media means it’s unusual to find an
organization that does not reach its customers and prospects
through one social media platform or another. Companies see
the importance of using social media to connect with
customers and build revenue.
Businesses have realized they can use social media to generate
insights, stimulate demand, and create targeted product
offerings. This is important in traditional brick-and-motor
businesses, and, obviously, in the world of e-commerce.
In this research, to adequately address the research questions
a variety of data collection methods and instruments were
used such as questionnaire survey and t-test.
From the study, the researcher concluded that there is no
significant relationship between the Level of utilization &
Effectiveness of Internet marketing among consumers in
Bahrain. Therefore, the researchers accept the null
hypothesis.
The problems faced by the respondents on the Level
of utilization & Effectiveness of Internet marketing among
consumers in Bahrain is privacy, censorship and online
security. The Internet, social media, online advertising, mobile
apps etc. as a whole, can be seen as technology that has greatly
enhanced our lives but should be done responsibly.
The latest issue of our magazine for the IT professional focuses on Project Management. Full versions are available to BCS members. To find out more about the benefits of BCS membership go to http://www.bcs.org/membership
Influence of digitalization on community citizenship: A conceptual introspectionDEBOJYOTI DE
I have tried to make this write-up in simple terms that will give a wonderful picture how Digitalization has evolved over decades and how technological disruption and diffusion have made industries evolve. Further, the article is backed up with examples that would be understood by practitioners and academia. Any criticism and value addition will be welcomed. For any detail discussion, please feel free to drop me a message.
“Delivering the public spending cuts facing the new Government will not be easy. But those who argue it will be impossible without slashing services should take a look at BT.” - David Wighton Business and City Editor, The Times. May 2010
1. Clouds, Crowds and Customers:
Doing Business as Unusual
Written by Dr Nicola J Millard
Customer Experience Futurologist, BT
2. Contents
The Challenges of Business as ‘Unusual’ 1
2
6
All Change, Please: The Rise of the
Connected, Multichannel Customer
From ‘Push to ‘Pull’: Rethinking Business Strategy
Crowds: Creating New Ways to Network
Cloud: Is it all just Water Vapour?
8
12
16
17
Issuing a Challenge for Future Business
References
3. 1
The Challenges of Business as ‘Unusual’
Future business is being shaped by a unique set of pressures. In addition to a challenging
economy and shifting political policy, we have interesting changes in customer behaviours and
demographics, crowd behaviours enabled by social technologies and new networked technologies
and infrastructure: Clouds, Crowds and Customers.
We have entered an age of ‘business as unusual’. This is an age where business environments
are less predictable, controllable and certain; where strategies become more organic, less linear,
chaotic and emergent; where customer behaviour is social, connected and viral. This is both an
exciting and a scary time because the fundamentals of business as usual are being challenged.
Businesses are generally built to last rather than to change. The result is that we tend to use
new technologies to reinforce old ways of doing things.
According to a survey conducted with 131 senior business and IT people as part
of BT’s ‘Beyond the Cloud’ events, the priorities for organisations are:
...the fundamentals
• 42% wanted more efficient business processes. of business as
• 45% wanted to deliver better customer service. usual are being
• 13% wanted to make their people more productive. challenged.”
The emphasis placed on customer service in this equation is reassuring since there is always a
temptation in hard times to look to organisational efficiencies at the expense of customers. Customer
retention is more cost-effective than recruitment, so retention is all. The interesting aspect is that
individual productivity is not a current focus – with leaner, meaner organisations already stretching
their people to the maximum and processes often preventing them from being more productive.
However, with everyone being challenged to do more for less, now may well be the time to
rethink business models that have often been in existence for a hundred years or more.
Things such as:
• What exactly are offices for now, given that many employees can work anywhere?
• How will the younger generation (the millennials) influence the future ways of working?
• Will internally run IT infrastructures go the same way as the electricity generation department?
• How does a connected, informed and opinionated customer challenge the way that front
line services are delivered?
This paper will tackle all these questions and more.
Much of the discussion in this paper was inspired by the panellists and delegates who participated
in the series of ‘Beyond the Cloud’ events that BT hosted alongside Cisco and Computer Weekly
during June and July 2010.
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 1
4. 2
All Change, Please: The Rise of the
Connected, Multichannel Customer
Technology alone does not create change – people using technologies in new and different
ways do. The internet has changed the way that customers work and play. In fact, customers
have changed more than the organisations that both serve and employ them.
2.1. There’s No Place to Hide Online
On the internet there are few places organisations can hide. Customers can compare prices and
products at the click of a button. They can critique, scrutinise and post content that can pass
between users across the globe in minutes. The internet has given customers what academics
are calling ‘radical transparency’ along with infinite choice.
Choice, in itself, is good but too much choice tends to cause our brains to freeze (unfortunately the
development of our brain does not run parallel to that of the microchip). This gives rise to a trend
of advice-seeking amongst customers as they try and reduce choices to the ‘right one for me’.
According to Ofcom [1], smart phones account for just over a quarter of UK mobile phones (26%),
so they have reached a critical tipping point. Nearly a quarter of adults (23%) and nearly half of
15-24s (45%) access online content on these phones [1]. Some of the applications that exploit the
functionality of the smart phone range from barcode scanners (using the phone’s camera), which
enable people to compare prices between the physical and virtual world, to applications that can
find services in your location and customer recommendations about those services. These services
According start to affect the ways that customers make decisions.
to Ofcom,
smart phones There are even applications like Google Latitude and FourSquare that combine the social web with
geographical awareness and allow you to see if friends or colleagues are nearby (an opt-in service).
account for just
over a quarter
of UK mobile 2.2. Population Extremes: The Challenge of Ageing and
phones...” Younger Demographics
The fastest growing segment of the population in the UK at the moment are 100-year-olds
(by 2033 there are estimated to be 64,200 people who have reached their centenary, according
to the Office of National Statistics [2]). This has challenges, particularly for the public sector in
terms of serving an increasingly elderly population.
Although it is great that we are living longer, we are still suffering the consequences of ageing,
including declining eyesight, hearing, dexterity and mental health. Although traditionally the over-
70s are the most resistant to adopting new technologies, accessibility can be more of an issue.
2 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
5. Many devices (such as the iPad) have no tangible buttons or controls and give no tactile
feedback. This makes them difficult for vision- or dexterity-impaired people to use effectively,
so accessibility considerations need to be built into design.
For employers, however, it is the younger population who are the future. 16 to 24-year-olds
are embracing new technologies in creative ways – communicating via multiple channels
simultaneously, creating their own content and multitasking to the extreme. Ofcom [1] found
that people spend an average of 7 hours a day consuming different media, but they squeeze in
63%
8 hours and 40 minutes’ worth of content through multitasking. E-mail and voice channels are
no longer their primary choice for communication for each other, their friends and colleagues and
organisations. Phone calls represent less than 25% of mobile phone use for 16 to 25-year-olds
(compared to 57% for the over 55s). 63% of usage amongst the millennials group involves text
messaging and social networking [1]. of usage
amongst the
Amongst younger people (16 to 34-year-olds), social networking has become more popular as
a method of communication than e-mail (accounting for around 23% of all time spent on the millennials
internet [1]). Social media can provide a faster and more personal way of communicating with group involves
customers and resolving problems. text messaging
and social
Many organisations are realising the potential that millennials can provide them. Cisco has
created mentoring programmes where young graduates are teaching senior managers about new
networking.
technologies. Other organisations just don’t quite get it – with the worst offenders recruiting over
social networks such as Facebook and then, as soon as the recruit steps through the corporate
doorstep, banning social media. They are wasting the very talents of the highly networked
individuals that they have just recruited.
2.3. The Age of Self Help, Paranoia and Advice Seeking
Networked customers are often very happy to do a lot of things using self service, as long as
it saves them time, energy and, preferably, money. However, there is an assumption that self
service will mean that customers will no longer use expensive channels like call centres or face-
to-face. This assumption is largely wrong. What happens is that the simple and transactional stuff
goes to self service, leaving the human channels to deal with hugely emotive and complex issues.
The common customer gripe with these channels is now that they get lovely front line people
who can’t do anything for them because they either lack the skills or the empowerment to deal
with this tide of complexity.
To solve complex customer problems, organisations need to ‘speed date’ customers with the
appropriate expert, wherever they may be – this is what we call ‘networked expertise’ [3].
Networked expertise is around centralising core technology platforms and applications, whilst
decentralising the expertise. The business result of this is that organisations can be more agile and
flexible when facing unexpected call peaks or events.
The decentralised model also means that the contact centre no longer has to fire fight during peak
call times during the week. If calls can be diverted to available experts across the organisation,
loads can be balanced across the whole enterprise. Similarly, this also means that the available
expert resources can also be scaled down during quieter periods.
This also introduces resilience and redundancy into the network of expertise. A centralised contact
centre function is a single point of failure that is often vulnerable to things like viral pandemics,
travel chaos and bizarre weather.
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 3
6. Of course, the ultimate in decentralisation is home working - or ‘homeshoring’, as it is called in
the contact centre space [4]. This provides organisations with the opportunities to recruit and
retain different demographics of expertise – including returning mums, over-55s and people with
disabilities who do not necessarily want to work in a centralised office on a traditional nine-to-five
basis. The productivity advantages of this model can be huge, with BT’s own homeshored advisors
being more effective, more flexible in terms of attendance patterns (particularly being able to
schedule antisocial hours, split shifts and also “microshifts” of as little as 15 minutes to respond to
call spikes), more productive (with a 20+% uplift in both attendance and performance from home
based advisors compared with contact centre based advisors) and more satisfied with their work.
Changes in technology can be the key enabler to this level of flexibility. There is no longer any
reason to centralise resources around a physical switch any more. Technologies such as unified
communications and SIP are causing a major shift in contact centre operations [5]. Expert advisors
need to be able to call upon knowledge within the organisation to get the right expertise, right there
with the customer and through the right media in order to achieve their right first time objective.
The shift to complexity caused by increased self service capabilities and the cost of failure
associated with not resolving customer calls means that the investment in such a model is
offset by the efficiencies and cost savings gained.
However, this ‘networked expert’ model challenges business as usual:
1. Networked experts can be anywhere. This model is likely to be a mixture of front office, contact
centre, back office, mobile and home based workers – which also implies that applications need
to be available through desktop, mobile and conferencing channels. They may work anywhere
(and, potentially, for anyone) but they will have customer queries routed to them intelligently,
based on their expertise, appropriateness and availability. They can act as a conduit to other
networked experts, depending on the customer requirement. These experts will manage
their own work and queues through enterprise wide workflow technologies.
2. Many organisations do not know who (or where) their experts are – although skills-based
routing is common in the contact centre space, this model implies that expertise needs to be
tracked across the whole organisation. The contact centre needs the ability to access lists of
expertise in order to assess who the expert is and whether they are available and appropriate
to deal with the customer enquiry.
Experts are, by definition, an expensive and scarce resource. It is true that companies cannot
afford to turn all their knowledge workers into contact centre employees, since they are often
occupied with small matters such their day job! So that expert productivity isn’t compromised
or, even worse, experts learn to look unavailable in order to not receive customer contacts
that disturb them, it is critical to develop a clear, coherent process for letting contact centre
advisors access and engage expertise.
This could involve creating rotas of experts in an ‘expert pool’ who are effectively ‘on call’ to
solve customer problems, anonymising experts so that the same people don’t always get pulled
in and even building in additional routing criteria relating to media preference, language skills,
geography, estimated time to availability (if everyone else is busy) etc.
3. You need to have skills-based routing on ‘acid’ – this is analogous to speed dating in that the
customer problem needs to be matched with the appropriate expert who can deal with it in
a timely manner. Skills-based routing is a simple variation on presence information in that
4 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
7. automatic call distribution looks to route calls to the most appropriate, available advisor. In the
networked expert model, however, expert queues can go across the whole enterprise so that
customers can be steered to the next available expert in that ‘expertise queue’. This may be
done on an automatic distribution basis or manually (although this may lead to certain experts
becoming overloaded if advisors always transfer to the person that they know and trust to
handle the issue). Because availability of experts is visible, it avoids the potential dangers of
getting into voicemail hell.
4. Since, at an extreme, everyone could potentially be talking to customers, there is a degree of
anarchy that needs to be carefully managed – not least to fulfil regulatory requirements. As a
result, great CRM and workflow needs to be there in order to know and track who has spoken
to whom and what happened as a result. ‘Smart tags’ can be used to indicate the presence and
availability of individuals listed as having contributed to the end-to-end chain of interaction.
This allows anyone to see both the identity and availability of all experts involved in the end-to-
end workflow – useful if you are trying to find out who was the last person to deal with an issue.
Experience has shown that this way of working can increase first contact resolution rates to
around 70-75%. This reduction in cost of failure demand is why analysts such as Gartner [6]
have predicted that 80% of businesses doing this will obtain significant competitive and cost
differentiation because of it.
Combine demographics, devices and difficult questions coming and organisations are having
to think about how they can move more effectively and efficiently in customer time rather
than corporate time (which is often far slower).
This reduction in cost of failure demand
is why analysts such as Gartner have
predicted that 80% of businesses doing
this will obtain significant competitive
and cost differentiation because of it.”
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 5
8. 3
From ‘Push to ‘Pull’:
Rethinking Business Strategy.
Many of today’s business models have been around since the 1900s. Capitalism has a history
during which there have been times of relative stability and times of great upheaval. The previous
period of fundamental change in commercial models was the end of the 19th/beginning of the
20th century as the industrial revolution kicked in and mass consumerism became a reality.
As a case in point, early in the 20th century, cars were made by the rich for the rich. However,
others wanted cars too and it was Henry Ford that is credited for the invention of mass production
and its unique economics as a way to respond to this new market. That was the technological
breakthrough that made it possible to meet the challenges of mass consumption.
Today, we have the new digital technologies that have the potential to turn mass consumption into
individualised consumption. However, in business we’ve largely used these technologies in the old
ways. We’ve used them to automate processes, for labour substitution, to drive down transactional
costs and increase profits and, as a result, we’ve turned more and more things into commodities.
This current period of economic turmoil may be a precursor to another seismic change in business
practices. There is an appetite in both public and private sectors to do things in different ways,
enabled by new technologies, in order to create new economies and practices. This was reinforced
by a poll conducted as part of the ‘Beyond the Cloud’. 40% of people believed that the current
key focus of their IT department was innovation, with 37% looking at cost transformation and
efficiency and only 23% concentrating on maintaining and delivering core services such as
upgrades and repairs.
40 % Agility in the face of the unpredictable is a key aspect of business as unusual. The likes of Seeley-
Brown and Hagel [7] note that previous business models (‘Push’ models) were built on the ability
to forecast and plan precisely (as in the factory production line model). This relies on stable
markets, minimal variation and prediction based upon past performance.
of people
believed that New models (‘pull’ models – like Seddon’s systems thinking approach [8]) tend to more accurately
the current key reflect the chaos of the real world. Human behaviour introduces uncertainty and complexity into
the equation. Variability becomes the norm. The old push models of measuring and managing,
focus of their
command and control start to break down as systems become less predictable. Pull models work
IT department around understanding and responding effectively to customer demand.
was innovation.
Competitive advantage is often about how fast you move, how knowledge flows (rather than
what knowledge you own), networks of relationships and human capital rather than physical
assets. The ability for ‘garage’ startups to compete with big, established organisations with little
more than rich human capital and a pay as you go infrastructure is becoming a reality – they
6 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
9. can achieve scale without mass (thus violating the laws of physics as well as old commercial
ideals). As Hagel [7] observes: “how do we get better, faster and by pulling together?”
The “bang for your buck” of these things is notoriously hard to quantify using traditional
transactional economic models.
Key to this is leveraging the combined brain power and passion of the employees within
an organisation and their customers outside it (i.e. human capital). Hierarchies may have
disappeared off formal organisational charts but they are still very much in evidence when it
comes to centralised decision making and (often unwritten) power structures. This gives rise to
the traditional Taylorist carrot and stick model which was also a product of the industrialisation
process in the late 19th century.
Taylor, who came from a well-to-do Philadelphia family, was a foreman in a Pittsburgh steel
mill. He devised a means of detailing a division of labour in time-and-motion studies and a
wage system based on performance. This increased business profitability. It also became the
“only way to go” in managing and motivating people. However, Taylor’s concept of motivation
started and finished with monetary incentives and he believed that the largely uneducated
workforce in his mills were inherently lazy. Taylor’s attitudes towards workers were laden with
negative bias and he believed that “in the majority of cases, man deliberately plans to do as
little as he safely can”.
Given that much of the work in 21st century organisations is knowledge work rather than
production line (and that includes so-called “transaction processing” activities such as the
contact centre), the Taylorist approach to measurement and management becomes increasingly
difficult to define in tangible unitary terms. It can also serve to demotivate what might have
otherwise been a passionate and engaged workforce (a recent YouGov survey [9] showed that
UK job satisfaction had plummeted to an all time low). It is unsurprising that we tend to want Success often
to get out of organisations where we have no voice and control. depends on
Control and motivation are, of course, inherently linked. Classic psychology states that a job
how well loose
with high demand and low control generally results in stress. By giving employees more voice networks of
and control, higher engagement and satisfaction can occur. By decentralising decision making people come
processes, people can make decisions that matter to them in a timely and appropriate manner. together to
Management should be about co-ordination of these processes rather than the control of work and
them. Success often depends on how well loose networks of people come together to work
and collaborate.
collaborate.”
In addition, the power of the customer should not be underestimated as part of this model.
Zuboff and Maxmin [10] back in 2004 looked at a model of business where people would
come together to help each other and support mutually beneficial goals. There are a number of
examples of this emerging. UK Government’s notion of the ‘The Big Society’ has been described
as “an organisation being set up by frustrated citizens for frustrated citizens”. The mobile phone
company Giff Gaff uses customers to both promote and support the product in return for low
mobile tariffs. We also have community social networks and forums where people collaborate
without tangible economic rewards (we call this ‘psychic income’) to solve each other’s
problems. These sites are often our first port of call because they are available on search engines
and are often more preferable (and effective) than sitting in a queue for a contact centre advisor.
So, there are signs that a dramatic shift is starting in the wonderful world of business, fuelled
by this era of uncertainty and unpredictability. This is facilitated by a change in the way that
technology is harnessed to meet these new market demands. Collaboration, co-ordination
and networking technologies are all at the core of this revolution.
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 7
10. 4
Crowds: Creating New Ways to Network
4.1. Social Networking: Why Bother?
Humans have always been social animals – talking, discussing and innovating are all part and
parcel of human existence. The telephone was only the start in terms of technologies to support
these behaviours and social networking is simply a new tool to support the natural ways that
people collaborate and network. However, it challenges traditional organisation models because
it is, by nature, both very difficult to control and also transcends the traditional hierarchies and
silos of organisational design. The power here is with the people – and, given human capital is
vitally important to future organisational success, this is the right place for it to be.
Forrester [11] has found that there is a direct relationship between successful people and their
ability to build and maintain strong networks. People with strong networks are able to get things
done faster because they can rapidly involve, influence and align the right people who can help
them achieve their goals. These people are often the hub points of any community – the person
who always has the answer or knows someone who does.
there is a direct As a result, companies that exploit social networking tools tend to benefit from:
relationship between
• Better collaboration translating into innovation. Innovation often comes about by diverse
successful people
people collaborating to create something new. Companies often stand or fall by their ability
and their ability to to innovate, especially in tough times. IBM invested in ‘InnovationJam’ connecting more than
build and maintain 150,000 people in 104 countries – including IBM employees, business partners, and students.
strong networks.” This resulted in IBM investing $100 million over two years to develop the top 10 ideas. A similar
initiative was also conducted by Dell (IdeaStorm).
• Stronger personal ties increase employee engagement and retention. Studies have shown that
companies with a high level of community and collaboration tend to have less employee churn
and higher engagement.
• Selling depends on relationships. The best salespeople spend their career building a strong
network of business contacts. The strength of these relationships directly impacts the success
of the salesperson and, ultimately, the success of the company.
Yankee Group [12] points out that the growth in social networking has evolved alongside
rapidly changing work patterns. In the past, most employees spent most of their time in a
fixed office. Meetings and serendipitous conversations around the water cooler were the
norm for collaboration and knowledge sharing alongside the traditional tools of e-mail,
instant messaging and telephones.
8 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
11. However, given the advent of near ubiquitous connectivity, employees are frequently strewn over
multiple time zones, offices and home offices and anything in-between. Traditional collaboration
tools tend to get overtaxed and overloaded by this way of working because they were never
intended to facilitate group collaboration. This is especially problematic when critical knowledge
is lost or stranded with a single individual. This is a symptom of overusing what Yankee Group [12]
calls “the black hole of collaboration”: namely e-mail.
Millennials, especially, have different technology expectations and build personal and professional
networks differently from older generations. For companies to recruit, retain and get the maximum
out of these younger employees, they need to provide them with the tools that they are familiar
with (or have similar functionality).
Social software, however, combines communication with content. The ability to discuss ideas
within a group wiki via comments or respond to a colleague’s blog post, creates new ideas and
enhances existing knowledge.
Discussions formed around information are also stored for future use – becoming arguably the
most valuable content of all. Social software tools foster a richer understanding of content for
active participants. They also enable original content creators to re-evaluate their ideas based
on the comments and contributions of their colleagues.
It seems that social networking is here to stay and may well become as much part of the
office suite of tools as e-mail and the telephone in terms of combining communication with
content and knowledge with people. It has the advantage that knowledge is not condemned
to collect dust on a hard drive or e-mail system but potentially becomes something that is
constantly changing and evolving in a public space – generating new ideas and creating online
reputations as it goes.
4.2. The Elephant in the Room: What’s the Return on Investment?
However, there is “the elephant in the room for social media”. Companies won’t invest in it unless
there are some tangible benefits over and above its seeming to be a good idea. After interviewing
a number of companies who are doing social networking, the overwhelming opinion was “the ‘I’
(investment) is relatively small, it seems to be worth doing and we’ll justify the return later” [social
media manager in a major multinational corporate].
However, various blog discussions about this topic tend to acknowledge that social networking
will only produce return on investment if companies start to focus in on specific and real pain
points and problems for an organisation that can be addressed by tools such as social networking
services, blogs or wikis.
Social networks are different from traditional IT solutions in that they don’t just solve one
I don’t want
problem. One tool can address many issues including communication, co-ordination, innovation my employees
and collaboration. The value of social media is in their relationships and their context – both messing around
of these are organic and emergent. One interviewee [a social media manager in a major with Facebook
multinational corporate] commented that he was not aware of a business case being generated all day – I want
for the provision of phones and e-mail so why should social networking be treated differently?
However, social networking seems to generate a certain amount of cynicism at the highest
them doing
levels of organisations with a typical comment [from the CTO of a SME] being “I don’t want my some real work!”
employees messing around with Facebook all day – I want them doing some real work!”
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 9
12. The biggest question to be answered here is, given industry’s obsession with quantification, what
actually constitutes “real work” in a white collar context? Less facetiously, most managers tend to
look to increasing productivity and knowledge sharing as part of their social networking business
case. These measures include:
• The ability to better utilise the expertise of people within the organisation
(networked expertise).
• The value that can be leveraged from sharing contacts and “useful stuff”.
• Delivery of the right information to the right people at the right time, rather than
focusing on storing data.
• Faster innovation and thought leadership.
• More effective collaboration.
• Increased agility.
• Reuse of knowledge.
• The ability to harness both explicit (known) knowledge with social connectivity
(tacit knowledge).
• Increasing efficiency by reducing e-mail volumes (estimated at a 25-30% reduction with
the use of wikis due to the fact that there aren’t multiple e-mails (potentially accompanied
by multiple attachments) being fired off).
However, quantifying the benefits of establishing serendipitous connections, where people
network together in order to do things differently and potentially create new products,
connections and business partners, is almost impossible to do. As Steve Masters, BT’s head of
Global Convergence and Propositions, says from experience: “collaboration business cases are
hard to prove in terms of return on investment”.
Key Performance Indicators (KPIs) can be put in to measure these things (such as % of revenue
from new products, % of projects initiated by ideas from outside the organisation, % of products
sold direct vs referrals). However, making the ROI case for initial investment is difficult because
these tools do not guarantee success or new innovative ideas; rather they increase the chances
of its happening.
Interestingly, one of the advantages that BT gained when it opened up social media applications
was one that was less anticipated. According to Masters, “the tangible benefit for us (BT) in
terms of opening up Facebook is that the volume of junk e-mail (for example funny video clips of
someone falling out of a tree) has pretty much disappeared. Previously all that junk mail would
have had to go into digital storage. The costs were immense, so the savings can be significant.”
...the tangible So, figures around cost saving and efficiency may well be what gets social networking tools a foot
in the door but it will be their usage and the resulting success stories around how they promote
benefit for us
innovation and revenue growth that will ultimately silence the ROI requirement. The value of social
(BT) in terms media is unpredictable and emergent which makes it impossible to spell out up front.
of opening up
Facebook is that The problem is that businesses are focusing on the value an online social networking community
can provide to themselves, not the value it gives employees. In order to be successful, social
the volume of
networks need to benefit users first in order for them to benefit the business.
junk e-mail has
pretty much In terms of return on investment, it is difficult to quantify the benefits above and beyond that of
disappeared.” driving efficiencies because many of the benefits are around serendipity, expertise and reuse which
10 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
13. are less tangible to quantify. However, this is not a reason alone to discount social networking
since it would probably be just as difficult to articulate the tangible business benefits allied to
more conventional office tools such as e-mail and telephony!
4.3. From Monolithic to Co-Created
The biggest challenges that social tools bring are to traditional business practices. Breaking down
hierarchies and silos, relinquishing managerial control, building trust and establishing a viable
governance strategy that treads a fine line between control and chaos are all far from business as
usual in many organisations.
Enterprise IT is often about enforcing control and conformity. The rationale is that the most secure,
reliable and predictable environment is one that is well understood, well documented, and well
managed. However, with social networking tools, the world is not co-operating. People at work
exploring outside the locked down enterprise computing environment are finding value in the
wild west of social media – applications such as Facebook, LinkedIn, YouTube and Twitter are often
being widely used without official endorsement (which then often results in those sites getting
blocked by the IT department). John Hagel commented on his blog that there is often “a big
cultural difference between the social media people and the IT department”.
Blocking these sites doesn’t mean that people will stop using social networking for work matters if
they feel that they are gaining significant business value from them. Since the boundaries between
work and home are blurring, the chances are that they will simply start to use their personal PCs
or smart phones for work related things. Koplowitz and Driver [13] note that “no matter what size
technology barriers you put in front of people, there will always be workarounds. Especially when
people fervently believe in what they’re doing, like being effective at work.”
Consideration should be given to which social networking technologies suit the multifaceted
nature of business today. However, beyond the technologies, organisations also need to encourage
people to actively participate (a social network of one is not a valuable one). This is more about
culture change and trust. Richard Dennison from BT emphasises the role that organisations have
in the success or failure of enterprise social networking: “the organisation has the hardest and
most critical role of all – they have a create an atmosphere and a space in which people feel free to
participate, feel free to express themselves without recrimination and trust that their contributions
are being taken in the way that they mean them to be taken”.
... the organisation has the hardest and most critical role of
all – they have a create an atmosphere and a space in which
people feel free to participate, feel free to express themselves
without recrimination and trust that their contributions are
being taken in the way that they mean them to be taken.”
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 11
14. 5
Cloud: Is it all just Water Vapour?
5.1. Lifting the Fog: What Exactly is this Cloud Thing Anyway?
Changing IT infrastructures both change customer behaviours and enable different ways of
working (if you allow them to). ‘Cloud computing’ appears to be at the forefront of this change.
There is a sky full of hype going on about cloud in the IT and Telecoms community at the moment.
Our recent research with ICM showed that 28% of people think that cloud is the most important
trend in IT strategy, over and above reducing costs (16%) and Virtualisation (13%). Awareness of
cloud is generally high, with 58% of government clients interviewed saying that they had heard
of cloud.
Although generally regarded as ‘the future of IT’ (by 44% of respondents in a ‘Beyond the Cloud’
poll), 56% of people were struggling to articulate the benefits down to a business case level.
Part of the issue is the fogginess that surrounds the actual definition of what exactly a cloud
service is. Ask a number of experts and you will probably get a different definition each time.
56
As Bryan Glick, editor of Computer Weekly Magazine, related at one of the ‘Beyond the
% Cloud’ discussions: “the definition depends on who you talk to. John Suffolk, who leads the
G-Cloud strategy for the public sector, did a market testing exercise to find out what the cloud
was and found 22 different definitions, none of which fitted his requirements, so he had to
identify a 23rd”.
of people
were struggling The broadest definition seems to be that ‘cloud’ is a banner term that can be applied to any
application that enables users to access services over the internet, from additional processing
to articulate the
power to data centres. The nearest analogy is outsourcing but, as Glick observes “it takes it to
benefits down another degree. So, instead of someone else running your IT systems, you are using someone
to a business else’s IT systems, on a shared platform.”
case level.
However, ask a non-technologist about cloud and generally you are greeted by either a singular
disinterest or a resigned sigh that it is nothing new. For C-level business people, Cloud is strictly
seen as “something for the techies”, a method of delivery with nothing tangible to show in
terms of business strategy and solutions. To quote one public sector customer, “the words have
been used too many times and there is no result associated with it. There’s nothing tangible.
The concept is fine but there’s nothing there.”
From the guys on the ground there is very little concept of how this shift in technology
infrastructure will help them enhance the way that they run their business. While the potential
shown by every new IT technology is tremendous, factors like security, cost and adaptability
ultimately decide success or failure.
12 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
15. To be honest, none of this is particularly surprising. Research by Pew [14] showed that 69% of
internet users existed in “the cloud”, through browser based services (e.g. Facebook, Gmail,
Twitter, Flickr, YouTube etc), but very few people were aware that those applications were cloud
services. They simply focused on the functionality that those applications gave them – whether
they be for social networking, phone/video conferencing, webmail, photo sharing, watching
online TV and personal file backup. So, in the customer space, the cloud revolution has already
happened. The business world is, once again, playing catch-up. As customers, we use these
applications more than we understand them. We seem very comfortable with the functionality
that cloud gives us without needing to know that we are in the cloud. We regard it as easy and
convenient, we like the fact that we can get access to these services from wherever we are and
on whatever device we happen to have.
However, for businesses the move to this model is a seismic shift from the conventional client-
server model. Stephen Nunn from Accenture, another panellist at the ‘Beyond the Cloud’ events,
thinks that cloud can underpin vital strategies for business survival: “cloud drives three major
advantages from a business perspective. These are speed to market, driving agility (through the
ability to flex resources up/down) and the ability to vary cost models”.
Cloud potentially takes a lot of core functionality out of organisational control. This has happened
before in other functions that were regarded as core to business. The parallel that is often cited as
an example is the fact that, 25 years ago, many organisations had a ‘head of electricity generation’
and now that function has now been entirely entrusted to the electricity boards. Could the IT
function go the same way? The interesting dilemma is that, if IT are the only people who are
interested in ‘cloud’, they are also likely to be the most resistant, since they potentially lose
control of their IT network and their jobs are potentially under threat.
As with any seismic change, human psychology also plays a large role in acceptance – and this
particular one is the psychology of possession, which I have termed the “mine” dilemma. If we put
this in domestic terms, despite having access to pretty much any movie/song online, we probably
still have extensive collections of CDs and DVDs residing on our shelves. Why? Because they are
“mine” – I can see them, touch them and show them off to other people. Couching it in business
terms, we rarely open up our office spaces to other organisations to share for reasons of control,
security and identity. As Ray Stanton, head of BT’s security capability, pointed out at one the
‘Beyond the Cloud’ events: “You are looking at taking away something people can see and touch.
It’s around the psychology of trust.”
Get off
The Rolling Stones were clearly before their time when they said: “Get off my cloud!”, since the my cloud!”
same psychology permeates thinking about cloud services. One local government organisation
told us that they were happy to go with services in the cloud as long as that cloud was located
within the local area authority boundaries! This, of course, then serves to undermine many of
the key advantages that are commonly cited for moving to cloud services.
Knowing who has access to their data, controlling it and touching it is important to organisations.
As Stanton observed: “Security is the enabler for using the cloud. At its core, it’s a contract that
you are outsourcing. You need to determine your requirements, regulatory needs, security levels,
your risk appetite and what you are prepared to accept as an organisation”. Glick added to that:
“Security often comes at the top, or near the top, of CIO’s worries about Cloud – but the issue is
about making sure that people understand the issues that need to be tackled. The technology
is there to deal with the security issues but a lot of it does come down to understanding the
contract and due diligence.”
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 13
16. Organisations have conceded that there are some services – like e-mail, data storage and
conferencing – that are regarded as headaches for the IT department and that they would more
readily relinquish into the cloud, as long as they know where that data is and who they go to
when things go down.
They are not, however, particularly interested in how these services are delivered – that’s a
problem for technologists and technology companies.
5.2. Tackling Business as Unusual
It seems to be the inherent fluffiness of the cloud that makes people reticent to consider it. What
business problems does it actually address? Well, here are three recent business challenges that
£1bn would ideally lend themselves to cloud-like applications.
Challenge number 1:
The UK ‘Snow Problem’: Increasingly Unpredictable Environmental Events
economy lost The UK economy lost £1bn per snow day in January 2010 as almost 6.4m people (nearly 20% of
the UK population) failed to make it into the office [15]. Couple this up with volcanic ash clouds,
per snow day
flu pandemics, transport strikes and floods and UK businesses can be vulnerable to sudden,
in January unexpected interruptions to operations. These are not problems that are likely to go away anytime
2010 as soon; the question is: how can organisations create resilience in the face of these rare but highly
almost 6.4m disruptive events? How do we remove the reliance that we have on centralised offices? Contact
people failed centres are often especially badly hit in these circumstances as call volumes often go up as a result
to make it into of incidents such as flooding as the number of employees available to take calls goes down, if they
can’t get into work.
the office.
This ties in nicely with the next theme…
Challenge number 2:
Martini Rules OK: The Rise of the Anytime, Anyplace, Anywhere, Any Device Worker
The age of the Martini worker has truly come now. People are increasingly able to work anywhere
and through any device. Coffee shops are increasingly becoming places where people stare
intently at screens whilst sipping their lattes. Trains are now filled with people thumb typing on
their smart phones. The landscape of work has changed for many people with the barriers to doing
work anywhere at any time with any device coming down.
For a number of years, BT has been at the forefront of this concept of the anytime, anyplace,
anywhere, any device worker. The motive was, initially, a financial one about property rationalisation.
£500 As Neil Sutton, BT’s Vice President of Global Portfolio, explained at one of the ‘Beyond the Cloud’
million events: “one of the key things BT did was to virtualise a lot of our operation. We virtualised all of our
data centres. Over 60,000 of our employees now can work in a mobile way – they can work from
savings as
home or turn up in any office and work in a standalone way and that allowed us to significantly
a result of rationalise our property portfolio, taking £500 million out of our property costs.”
rationalising
BT’s property This flexibility of workstyle tends to work for both customers and employees, as Bridget Taylor, one
portfolio. of the ‘Beyond the Cloud’ event panellists and CEO of Customer Service Direct, BT’s joint venture
with Suffolk County Council, explained: “It’s not just about customer satisfaction, it’s about
employee satisfaction as well. If it makes the job easier because you are giving them the right tools
and they become more productive, that makes them a lot happier in their work. Simple things like
not needing to go into the office at the start of each day make a difference.”
14 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
17. Promoting a more mobile workstyle is the bewildering array of devices that are becoming
internet enabled now – from Netbooks to smart phones to televisions and games consoles – and
these all have variable degrees of processing power. However, if the power lies in the network
rather than the device you get advantages that are summed up by one of my favourite geeky
bumper stickers: “my other computer is a data centre!”
Gartner [16] found that around 24% of employees in large businesses run their personal PCs on
corporate networks. This is often because our home technology is often vastly superior to the
corporate technologies that come as standard issue – and the millennials in the workforce will
often prefer to use their trendy personal technology rather than the brick that they have been
issued with.
Can we envisage a time when the individual, instead of being issued with a “one size fits all”
24%
underpowered and inappropriate IT device (e.g. laptop, desktop, netbook), will be given an
allowance with which to purchase appropriate equipment? Or could, in order to get a job, will
we have to show that you own the proper tools, much like a car mechanic or a plumber do now? of employees in
large businesses
This tends to give IT departments headaches but access to applications anywhere from any run their personal
machine can create huge resilience advantages. No longer do we have to sit around feeling as if
a major limb has been severed whilst we get our work PC repaired because we can’t get access
PCs on corporate
to any applications that we work with from any other device. networks.
Challenge 3:
The Agile and Assetless Organisation
This has long been a prediction in the futurologist’s arsenal but there are increasing numbers of
large organisations that are essentially assetless and, as a result, extremely agile. Gartner [15]
rather ambitiously predicts that by 2012, 20% of organisations will own no IT assets. I’m not
sure if that level of asset shedding will be achieved, even with the economic pressures of a down
economy, but having IT assets on demand can be an attractive prospect.
In this world, large and small can potentially compete on a level playing field, business 20%
applications and people can be turned on and off at the speed of life, specialised skills and tools
are effectively rented for the duration that they are needed and then discarded or upgraded.
of organisations
You can also get the scalability that networks can give – so if there are sudden bursty periods of
activity (e.g. Christmas for retailers), you can turn up the capacity as if you are turning on a tap. will own no IT
assets by 2012
We are also seeing the rise of spontaneous, ad hoc, self organising, cross enterprise, according to
collaborative behaviours through the use of social networking applications. Centralised access Gartner.
to tools can create huge opportunities for collaboration and sharing across diverse groups
of individuals. Corporate use of applications such as Twitter and Yammer is growing because
there are few barriers to sharing information (which can be a problem if people start to share
commercially sensitive information indiscreetly in public).
Clouds, Crowds and Customers: Doing Business as ‘Unusual’ 15
18. 6
Issuing a Challenge for Future Business
With the perfect storm of innovation and new business models emerging from a tough economy,
customers changing more than the organisations that serve and employ them and technologies
which enable people to break the routine pattern of centralised office work and allow them to
collaborate in different ways, there seems to be an opportunity to rethink the ways in which
businesses are run.
However, businesses like order – they are ‘squares’ with centralised budgets, governance and
processes. A lot of these emergent models and behaviours challenge these basic business
premises. This is a world where ‘blobs’ (emergent groups of similarly minded individuals) can
overpower the ‘squares’, as demonstrated by smart mobs and social media campaigns.
Businesses like institutions, hierarchies and processes because they help them to make sense and
organise the complexity of real life (at least giving the illusion of order and control in an otherwise
blobby world). The blob’s way is naturally anarchic, passionate, emergent and chaotic but, when
mobilised, can be undeniably powerful – but can blobby-ness prevail? Dennis Howlett, a highly
regarded enterprise 2.0 expert, suggests that blobby behaviour will always be subsumed by the
structures and hierarchies of the square enterprise because it “pre-supposes that you can upend
hierarchies for the benefit of all” [17]. He questions how much patience blobs will have when
hitting their collective heads repeatedly against the side of the square. Square Enterprise culture
is, in fact, the very opposite of blobby-ness and is designed to minimise anarchy and chaos
through rule adherence, hierarchical management control and strict budget allocation. Is future
business going to be a compromise position between blobs and squares or will the status quo of
the square prevail?
Technology is an enabler for this kind of change rather than a cause of it. Many of the challenges
that lie in the future for businesses are as much about shifting attitudes, management style and
decision making as using internet enabled, scalable shared services.
Whether these are delivered by cloud, smart devices, social networks or other means is largely
irrelevant compared to the seismic shifts in organisational strategy, culture, trust and politics
that business as unusual requires. Is business really ready for this shift?
Technology is an enabler for this kind
of change rather than a cause of it.
16 Clouds, Crowds and Customers: Doing Business as ‘Unusual’
19. References
[1] Ofcom (2010), Communications Market Report, Ofcom Research, 19th August 2010.
[2] Office of National Statistics (2010), UK Population by Age, 24/06/10,
http://www.statistics.gov.uk/cci/nugget.asp?id=949
[3] Millard, N.J. & Grinyer, C. (2009), The Networked Expert: Enhancing Service in an Age of
Advice Seeking, BT/Cisco White Paper.
[4] Millard, N.J. (2007), Phone Home: The Rise of the Home Based Contact Centre Advisor,
BT White Paper.
[5] Landoline, K. (2008), First Contact Resolution: The Antidote for Costly Rework in the Contact
Center, May 30, 2008, Yankee Group.
[6] Montero, I. & Blood, S. (2008), Examples of Communication-Enabled Business Processes
That Accelerate Business Responsiveness, Gartner, 05/02/08.
[7] Hagel, J., Seely Brown, J. & Davison, L. (2010), The Power of Pull: How Small Moves, Smartly
Made, Can Set Things in Motion, Basic Books, April.
[8] Seddon, J. (2003), Freedom From Command and Control: A Better Way to Make the Work
Work, Vanguard, October.
[9] YouGov (2010), Employee Outlook Survey, Chartered Institute of Personnel Development,
January, cited at http://www.relocatemagazine.com/index.php/recruitment/recruitment-
news-main/1007-new-survey-reveals-plummeting-job-satisfaction.
[10] Zuboff, S. & Maxmin, J. (2004), The Support Economy: Why Corporations are Failing
Individuals and the Next Episode of Capitalism, Penguin, June.
[11] Forrester (2008), Thomas, Z. (2008), Corporate Social Networks Will Augment Strategic HR
Initiatives, Forrester, April 25.
[12] Yankee Group (2008), Holbrook, J., Kotlyar, B. and Edwards, J. (2008), Community Centric
Collaboration Heats Up, Yankee Group, February.
[13] Koplowitz, R. & Driver, E. (2008), Walking the Fine Line Between Chaos and Control in the
World of Enterprise Web 2.0, February, 21.
[14] Pew Research (2010), The Future of Cloud Computing, Anderson, J. & Rainie, L., June,
http://pewinternet.org/Reports/2010/The-future-of-cloud-computing.aspx.
[15] Management Today (2010), Office Closed? Snow Problem, http://www.managementtoday.
co.uk/newsalerts/article/878372/office-closed-snow-pr, 04/02/10.
[16 ] Gartner (2009), Gartner’s Top Predictions for IT Organisations and Users, 2010 and Beyond:
A New Balance, Gartner Research, 29/12/09.
[17] Howlett, D. (2009), Enterprise 2.0: What a Crock, Irregular Enterprise, ZDNet, 26/08/09,
http://www.zdnet.com/blog/howlett/enterprise-20-what-a-crock/1228