The document discusses the concept of open leadership and how social technology can transform leadership styles by fostering relationships and collaboration. It emphasizes the importance of giving up control to inspire commitment, leveraging social media for customer engagement, and aligning openness with strategic goals. Practical steps are provided for implementing open leadership within organizations, along with the acknowledgement that embracing failure is part of the process.

1. Open Leadership: How Social Technology Can Transform The Way You LeadCharlene LiAltimeter GroupMay 6, 20101#openleader

3. More people visit Facebook than Yahoo!

4. 4It’s aboutrelationships

5. 5Why is social hard?Because realrelationships require that you give up control

6. The need for open leadership 6When people get what they need from each other“How open do I need to be?

7. Defining Open Leadership7Having the confidence and humility to give up the need to be in control,while inspiring commitment from people to accomplish goalsHow to give up control, and be in command

8. Best Buy’s First Social Media Experts8Steve Bendt & Gary Koelling

9. They harnessed Best Buy’s biggest asset9The Blue Shirts

10. BlueShirtNation.com supported Best Buy’s front line employees

11. Steve & Gary had an executive sponsor11Barry Judge CMO of Best Buy

12. They kept telling him one thing…12“Barry, you gotta get a blog!”

13. Barry’s first post13“I was so relieved when it was over—it was just two sentences to get started.”

14. The Premier Black Fiasco146.8 million emails sent instead of 1,000 test

15. Barry’s response15“…we screwed up the execution which makes me feel sick about the customer trust that we have impacted.”

16. Openness became a strategy16Open market testing of new logo

17. +2,200 Best Buy employees provide support on Twitter17

18. Focus on relationships, not technologiesWhat kind of relationship do you want?TransactionalOccasionalImpersonalShort-termPassionateConstantIntimateLoyal

19. Four goals define your open strategy, but always start with learn19

20. Go beyond traditional customer data20DemographicGeographicPsychographicBehavioralSocialgraphic

21. 21CuratingEngagement Pyramid: Focus on Watching and SharingProducingCommentingSharingWatching

22. Dialog with your community22

23. DellOutlet drives sales with Twitter23

24. Help your members support each other24

25. Social moves into enterprise appsSalesforce ChatterService Cloud w/socialLinkedIn in Lotus Notes25

26. Innovate with customer feedback26

27. Starbucks involves 50 people around the organization

28. What to do first

29. #1 Align openness with strategic goals29Examine your 2011goalsPick one where open and social can have an impact

30. 30#2 Understanding the value“We tend to overvalue the things we can measure, and undervalue the things we cannot.” - John Hayes, CMO of American ExpressValue of +5 million fans?

31. The new lifetime value calculation Percent that refer

32. Size of their networks

33. Percent of referred people who purchase

34. Value of purchases+ Value of purchasesCost of acquisition____________________= Customer lifetime value+ Value of new customers from referrals+ Value of insights Percent that provide support

35. Frequency and value of the support+ Value of support+ Value of ideasLearn more: Webinar this Friday 5/7 bit.ly/openleaderweb2

36. #3 Understand how open you need to be32

37. Determine how open you need to be to meet your goals33

38. #4 Find and develop you open leaders34CollaborativeIndependentOptimistPessimist

39. 35#5 Prepare your organizationIdeally, you should be at “4.0” for launch.Area of opportunity.

40. Social media triage36Take reasonable action to fix issue and let customer know action takenNegativePositiveYesYesNoAssess the messageEvaluate the purposeDo you want to respond?Does customer need/deserve more info?Unhappy Customer?No ResponseYesAre the facts correct?Gently correct the factsYesNoNoNoCan you add value?DedicatedComplainer?Are the facts correct?YesYesNoNoYesRespond in kind & shareThank the personComedian Want-to-Be?Explain what is being done to correct the issue.Is the problem being fixed?YesNoYesLet post stand and monitor.

41. Create a culture of sharing

42. #^ Embrace failure38

43. Buyer blog hit the right note39

44. Manage risk with Sandbox Covenants40

45. What the future will bring41Social networks will be like air

46. Focus on relationships. Align your social strategy with strategic goals.Support open leaders in your organization.Be prepared for failure – you’ll encounter many.Summary42

47. 4343Thank youCharlene Licharlene@altimetergroup.comcharleneli.com/blogTwitter: charleneliFor slides, send an email to slides@altimetergroup.comLearn more and buy the book atopen-leadership.com