Part 2 of four part series about the ideas in the book "Open Leadership" by Charlene Li. Presented on May 7, 2010. For more information about the book, visit open-leadership.com.

1. Developing & Measuring Open Leadership Strategies Charlene Li Altimeter Group May 7, 2010 1 #openleader

2. CMO: We need a blog and Twitter strategy. VP Customer Service: We’ll just complaints. VP Product Development: But we need feedback and new ideas to beat the competition. VP Sales: Competitors will steal the ideas and unhappy customers. CMO: With reviews, we’ll know what’s wrong and can then fix it. CEO: Negative reviews will kill sales. VP Biz Dev: Dell does this CEO: We’re not Dell. Determining how open you will be 2

3. Social technology forces you to be open 3 When people get what they need from each other “How open do I need to be?

4. Open Leadership 4 Having the confidence and humility to give up the need to be in control, while inspiring commitment from people to accomplish goals How to give up control, and be in command

5. Identify a strategic goal to address. Put in place learning systems to support that goal. Determine which open-driven objective can help the most. Gauge the need to be open. Gauge your ability to be open. Steps To Create Your Open Strategy 5

6. Align openness with strategic goals 6 Examine your 2010 and 2011 goals Pick one where open and social can have an impact

7. Four goals define your open strategy, but always start with learn 7

8. Open learning adds to traditional tools 8

9. Open learning adds to traditional tools 9

10. Learn with basic monitoring tools 10

11. Open learning adds to traditional tools 11

13. Understand who that person is – in real time Service Cloud w/social LinkedIn in Lotus Notes 14

14. Listen so you can respond appropriately 15 Is “lkilpatrick” an elite customer?

15. The value of open learning 16

16. Calculating the value of open learning 17 Spreadsheets online at open-leadership.com

17. Finding the signal in the noise. Analytics are still in infancy stages. Insights are not always representative. Distributed, open learning threatens the market research department. Example: CEO keeps repeating “insight” from a single tweet or blog post. Market research reasserts its authority by being the enabler of open learning. Aggregate and distribute with speed Analyze and distill with deeper insights. What’s hard about open learning? 18

18. Dialog with your community 19

19. Blogs establish thought leadership 20 Richard Edelman has been blogging since 2004.

20. DellOutlet drives sales with Twitter 21

21. Kohl’s has conversations on Facebook 22

22. 23 Curating Engagement Pyramid: Focus on Watching and Sharing Producing Commenting Sharing Watching

23. Engagement Pyramid Data 24 Source: Global Wave Index Wave 12 Trendstream.net, January 2010

24. Engagement scores of 100 top brands 25 +18% revenue +15% gross margin growth +5% revenue +3% gross margin growth +10% revenue +1% gross margin growth -6% revenue -11% gross margin growth Source: EngagementDB.com

25. Calculating the value of open dialog 26

26. Help your members support each other 27

27. Solarwinds uses community for call deflection and product development

28. Comcast made support proactive with indirect deflection 29 Took 3 minutes to notify entire system of off-air channel

29. Cisco supported employees with open collaboration and social platforms 30

30. Calculating the value of open support 31

31. Innovate with customer feedback 32

33. quality of ideas

35. P&G goes outside for innovation 35 P&G made outside-in innovation a priority

36. Calculating the value of open innovation 36

38. Size of their networks

39. Percent of referred people who purchase

41. Frequency and value of the support+ Value of support + Value of ideas Spreadsheets for call calculations available at open-leadership.com

42. Find more fans with large networks Encourage fans to make more referrals Use metrics to help make decisions 38

43. Identify a strategic goal to address. Put in place learning systems to support that goal. Determine which open-driven objective can help the most. Gauge the need to be open. Gauge your ability to be open. Steps To Create Your Open Strategy 39

44. #3 Understand how open you need to be 40

45. Determine how open you need to be to meet your goals 41 More on openness metrics at open-leadership.com

46. The Apple Factor 42

47. Brilliant engineers and designers Charismatic CEO Brand that its customers love and support Why Apple can afford to be less open 43

48. Define your objectives, and make sure they are aligned with your strategic goals. Identify the most important key performance indicators already in use in your organization. Identify open activities that support your KPIs. Establish a baseline for your objectives and KPIs. Optimize and adjust your KPIs and priorities. Action Plan 44

49. Finding & Supporting Your Open Leaders Friday, May 14th, 10am PT (bit.ly/openleaderweb3) How Open Leaders Embrace & Recover From Failure Friday, May 21st, 10am PT (bit.ly/openleaderweb4) Upcoming Open Leadership Webinars 45

50. Focus on relationships. Align your social strategy with strategic goals. Support open leaders in your organization. Be prepared for failure – you’ll encounter many. Summary 46

51. 47 47 Thank you Charlene Li charlene@altimetergroup.com charleneli.com/blog Twitter: charleneli For slides, send an email to slides@altimetergroup.com Learn more and buy the book at open-leadership.com