Social media is increasingly prevalent in both personal and professional lives. Over half of UK adults use social networks, and nearly all employees use social media for work. While many organizations block social media access, fewer will do so in the future. Social media allows for new forms of collaboration and value creation through crowdsourcing, crowdfunding, social customer care, and open leadership. Adopting social practices can improve knowledge sharing, problem solving, innovation, and employee engagement. Organizations that embrace social media may see benefits like new products and revenue, better business outcomes, and lower employee turnover.

1. Social Media at Work
Tim Wright
@twintangibles
Think Digital 2012
#thinkdigital
20th March 2012
Contact us +44(0)7717714595 www.twintangibles.co.uk
info@twintangibles.co.uk

2. The Contention
• Social technologies are here to stay
• This changes has profound implications
to the way we do business
• Change is happening now
• This presents opportunities
• Those opportunities run much wider
than marketing
• You should be thinking about it!

3. The Change
• The annual British Internet Habits survey showed
that in 2011, 57% of over-16s in the UK are using
the internet for social networking, as opposed to
43% in 2010.
• Using Social Networks
• 91% 16-24 year olds
• 76% 25-34 year olds
• 58% 35-44 year olds
• 42% 45-54 year olds
• 30% 55-64 year olds
• 18% 65+
Office of National Statistics – British Internet Habits

4. Corporate Access
• 76% of firms surveyed had a corporate social
media presence while 95% of employees
use social media channels for personal
and/or work related activities1
• Fewer than 30 percent of large organizations
will block employee access to social media
sites by 2014.
• The number of organizations blocking access
to all social media is dropping by around 10
percent a year.2
Source 1: DLA Piper Knowing your tweet from your trend: keeping pace with social media in the workplace 2011
*250+ employees and revenues of greater than £30m, all carried out during June 2011.
Source 2: Gartner
http://www.missioncriticalmagazine.com/articles/84775-gartner-says-fewer-than-30-percent-of-large-organizations-will-block-social-media-by-2014

5. Being Social
“It is a mindset of sharing, openness,
collaboration and communication
that is facilitated by technical tools
that provide for many to many non
mediated exchange”

6. Re-imagine Yourself
?
£

7. Social Media Reach

8. Communities

9. Popularity
Value The Long Tail
Quantity
Products

10. Expectation of Return
Coase’s Penguin – Yochai Benkler
“For decades our understanding of economic
production has been that individuals order their
productive activities in one of two ways: either
as employees in firms, following the directions
of managers, or as individuals in markets,
following price signals.
In the past three or four years, public attention
has focused on …the emergence of a vibrant,
innovative and productive collaboration, whose
participants are not organized in firms and do
not choose their projects in response to price
signals.”
Source: http://www.benkler.org/CoasesPenguin.html

11. So What?
Your Staff, Clients, Customers,
Partners and Suppliers will all expect
you to be social, use the tools and honour
the principles.

14. McKinsey 7 S
Hard
Soft

15. We will look at
• Crowdsourcing
• Crowdfunding
• Social Customer Care
• Open Leadership

16. Social Customer Care
•Payback
•Marketing
•Support
•App development
Founded 2009
Giffgaff enables members to earn points that can be exchanged for money, which is
redeemed in one of three ways:
•airtime credit,
•as cash which is sent directly to a PayPal account, or as a donation sent to a
community-nominated charity, the value of which is matched by Giffgaff.
Each point is worth one penny; these are redeemed every six months, on 15 June
and 15 December.
The first payback was made on 15 June 2010 and on the most recent payback in
December 2011 Giffgaff paid out over £700,000 to its customers.

17. Crowdfunding
“Crowdfunding is a method of raising capital, or
resources, by collecting together lots of small amounts
from a large number of people generally using the
Internet and social media.”
•Market testing Kickstarter 2011
•Distributed cognition Launched projects 27,086
•Not just cash •Successful projects 11,836
•Small sums quickly available •$ pledged 99,344,382
•Brand advocates
•Expectation of return

18. Crowdfunding
•Raised £75,000 using Crowdcube
•15 per cent equity in the business.
•Eighty-two investors each
contributed between £10 and £7,500
Founded Sue Acton
Initial Funding: Self, Friend and angel funded

19. Crowdsourcing
“Crowdsourcing is a distributed problem-solving and
production process that involves outsourcing tasks to
a network of people, also known as the crowd.
The difference between crowdsourcing and ordinary
outsourcing is that a task or problem is outsourced to
an undefined public rather than a specific other body.”
•Quicker to market “It is a shift away from subject
•Cheaper matter experts and toward subject
•More acceptable to market matter networks.”
•Draw on distributed cognition Harold Jarche
•Emergent and customer driven

20. R&D
Design
Data &
Prediction
Skills &
Recruitment

22. Open Leadership
GREATER OPENNESS IS INEVITABLE
“As your customers and employees become more adept at using social and
other emerging technologies, they will push you to be more open, urging you
to let go in ways in which you may not be comfortable.”
Charlene Li
Source: Charlene Li – Open Leadership

24. •Creates two-way dialog
•Makes business personal
Encourage Sharing •Reduces power distance to leaders
•Connects globally, person by person
•Forms private groups
•Identify expertise
Capture Knowledge •Avoid duplication and have better coordination
•Transfer knowledge
•Improve best practices
•Solve problems faster and better
Enable Action •Bring outsiders in
•Streamline processes
•Give employees a voice
Empower People •Make meaningful contributions and innovations
•Increase engagement, satisfaction, and retention
Source: “Making the Case For Enterprise Social Networks”. Altimeter Group February 2012

25. Outcomes for Deloitte
•We have developed new products using social media platforms
which now drive revenue.
•We have made tangible improvements to our business from
harnessing the collective wisdom of our people.
•We have engaged 4500 people in the process of building a
marketing strategy
•We have used social media to blitz the competition
•Professionals with 10 or more posts on Yammer have an average
turnover rate of 2%, compared to a firm-wide average of 15-20%.
Source: Social media at Deloitte Participation, communication, transformation May 2010

26. Create
Transform
Disruptors
Value Chain
Innovators
Improve
Optimizers
Customer Value Proposition
Enhance Extend Invent
Source: IBM Institute for Business Value analysis, 2012

27. Tim Wright
www.twintangibles.co.uk
tim@twintangibles.co.uk
@twintangibles
+44 (0)7717 714 595