Presentation deck from May 2014 Get Clarity webinar. In the webinar (available here:http://www.digitalclaritygroup.com/why-social-is-broken-and-how-to-fix-it/#recording) analyst Tim Walter provides an exclusive look at how social interactions are changing the not-so-distant future of work. Despite great enthusiasm and some positive results, enterprise social tools and practices have failed to make a significant impact in terms of implementations, adoption, regular use, or business results. In fact, enterprise social will continue to falter as long as the focus is on the tools and practices (i.e. the "build it and they will come" fallacy), or the benefits for the employees (i.e. the "it's all about the people" fallacy). After watching the webinar video, you'll learn how to course correct for enterprise social that works. Tim explains how and why the social business can flourish when it is used to address a fundamental shift in business conditions -- namely, the empowerment of consumers and the consequent need for all firms to master customer experience management (CEM).

1. Tim Walters, Partner and Principal Analyst
Mary Laplante, Vice President, Client Services

2. DCG helps business leaders
navigate the digital
transformation and create
competitive advantage
from disruption.
2
About Digital Clarity Group
@tim_walters@just_clarity

3. 3@tim_walters@just_clarity
Authored by:
Jill Finger Gibson
Marianne Kay
Scott Liewehr
Cathy McKnight
Tim Walters, Ph.D.
Tiffany Elliot
Research and reports available for download at http://digitalclaritygroup.com

4.  Create the company’s “value zone”
(Vineet Nayar)
 Companies in the top quartile of
engagement had 50% higher total
shareholder return.
 Each incremental % of employees who
become engaged predicts incremental
0.6% growth in sales.
(Aon Hewitt)
4@tim_walters@just_clarity

5. 5

6. 6
Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/

7. 7
≅50
%
≅78
%
≅8%
Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/

8. 8
Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/

9. 9
Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/

10. 10
Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior/

11. “When asked to rank their company’s social
business maturity on a scale of 1 to 10,
more than half of respondents gave their
company a score of 3 or below. Only 31%
gave a rating of 4 to 6. Just 17% ranked
their company at 7 or above.”
11
Source: “Social Business: Shifting Out Of First Gear” Based on survey of 2545 executives in 99 countries and 25
industries. Note that the report defines “social business” to include consumer social sites (Facebook, LinkedIn,
etc), internal social networks (e.g., Cisco Learning Network), enterprise social tools (e.g., Jive, Yammer, or custom
built), and social-based data and marketing intelligence.

12.  “77 percent of business and IT leaders say their
companies are currently using social
collaboration technologies”
12
Source: “Is enterprise social collaboration living up to its promise,” May 2013. Survey of 1000 business leaders and 4000 employees.

13.  “77 percent of business and IT leaders say their
companies are currently using social
collaboration technologies”
 “82 percent of businesses currently using social
collaboration tools want to use more of them in
the future”
13
Source: “Is enterprise social collaboration living up to its promise,” May 2013. Survey of 1000 business leaders and 4000 employees.

14.  “77 percent of business and IT leaders say their
companies are currently using social
collaboration technologies”
 “82 percent of businesses currently using social
collaboration tools want to use more of them in
the future”
 “The most widely used social technologies” are
Facebook (74%) and Twitter (51%)
14
Source: “Is enterprise social collaboration living up to its promise,” May 2013. Survey of 1000 business leaders and 4000 employees.

15.  “77 percent of business and IT leaders say their
companies are currently using social
collaboration technologies”
 “82 percent of businesses currently using social
collaboration tools want to use more of them in
the future”
 “The most widely used social technologies” are
Facebook (74%) and Twitter (51%)
 “Business and IT decision-makers have a false
sense of accomplishment when it comes to
social collaboration”
15
Source: “Is enterprise social collaboration living up to its promise,” May 2013. Survey of 1000 business leaders and 4000 employees.

16. 16

17. 17
 Platform megalomania
 Inattention to knowledge processes
 Misunderstanding social
 “Up with people!”
@tim_walters@just_clarity

18. “Build it and they will come.”
18

19. 19@tim_walters@just_clarity

20. 20
80%OF SOCIAL BUSINESS
EFFORTS WILL Not HIT THE
MARK FOR INTENDED
BENEFITS
Source: Gartner, January 2013

21. 21

22. 22@tim_walters@just_clarity

23. “The What – the social platform itself –
is already dealt with, at least for early
adopters.” Now we’re “tackling the big
issues of How.” – Jane McConnell
How and WHY?
23
Source: http://www.netjmc.com/business-value/decrease-of-interest-in-enterprise-social-software-signals-a-shift-from-tool-to-behavior

24. 24
Source: http://www.forbes.com/sites/stevedenning/2012/10/31/dont-diss-the-paradigm-shift-in-management/ . Deloitte analysis of 20,000 US Frims

25. “It begins with the idea that a firm is in business to
make money for the shareholders. To this end,
managers direct and control the workers. Work is
coordinated by rules, plans and reports, i.e.
bureaucracy. The overriding value is that of ever
greater efficiency. Communications are top-down
and aimed at maintaining control. Work revolves
around “the boss”. The firm’s principal focus is
internal. Its principal dynamic is control with the
objective of ever greater efficiency.”
– Steve Denning
25
Source: http://www.forbes.com/sites/stevedenning/2012/10/31/dont-diss-the-paradigm-shift-in-management/

26. 26
 “As organizations begin to realize that they
need to transform the way they operate,
and to challenge their structure and
purpose, in order to survive in a world of
increasing complexity and fierce
competition, rethinking the very nature of
work has become critical.” (Thierry de
Baillon)
 “Employees are increasingly looking for
personal growth, purpose recognition,
access, influence, impact….The future of
work is about getting back to basics and
unleashing the power of people.” (Ayelet
Baron)
 “Change in the workplace starts and ends
with people, with how they relate to and
work with one another. You need people
who understand people as part of your
team.” (Richard Martin)
Source: http://changeagentsworldwide.com/book/1

27. 27
 “The starting point for organizational
change is to realize that our
understanding of how we work, alone,
with others, and together has altered.
The foundations of business that most
organizations are operating on are no
longer relevant, if they ever were. We
need to operate in ways that are
aligned with our inherent
characteristics.” (Clark Quinn)
 “If old world organizations are going to
keep their best people from fleeing to
greener pastures (or find willing new
recruits from colleges), then the first
thing they’re going to have to do is
recognize that each and every one of
their staff are unique individuals, with
passions, dreams, ideas, and a spirit of
independence.” (Rob Caldera)
Source: http://changeagentsworldwide.com/book/1

28. 2828

29. 11.
“The philosophers have
only interpreted the world
in various ways. The point
is to change it.”
29

30. 11.
“The social tools have only
impacted the world of
work in various ways. The
point is to change it.”
30

31. 31

32. 32
They should change it.
We must change it.
You ought to change it.
Someone, anyone, please change it!

33. “The point is to change it.”
33
(Literally: “It arrives thereupon to change it.”)
There is no subject in the sentence, no actor or agent that
could/will “change the world.” Why? Because Marx wants to
emphasize that change is not just a matter of people
“changing their minds,” of deciding to change. People do
effect change, but only in the context of (and in conjunction
with) changed conditions.
Look at three instances where changed conditions are at
work (and in the workplace) “behind the scenes.”

34. 34
 “[Employers have to] recognize that
each and every one of their staff are
unique individuals, with passions,
dreams, ideas, and a spirit of
independence.” (Rob Caldera)
 But: Wasn’t this true for our parents?
Grandparents? Workers now nearing
retirement?
 So: What is different today that makes
Rob’s insight pertinent now (and for the
future of work)?
Source: http://changeagentsworldwide.com/book/1

35. 35
 “This dimension [team work and collaboration] has
been successively discovered—and forgotten and
then loudly rediscovered—by Mary Parker Follett in
the 1920s, Elton Mayo and Chester Barnard in the
1930s, Abraham Maslow in the 1940s, Douglas
McGregor in the 1960s, Peters and Waterman in the
1980s, Smith and Katzenbach in the 1990s and
Richard Hackman in the 2000s. . . .[M]anagers
would for a time embrace collaboration and teams,
and then in a crisis, disband the teams and revert to
the default model of . . . controlling individuals.”
(Steve Denning)
 So: Why did the previous change agents fail? What
is different today that makes Steve’s call for “radical
management” more realistic and likely to succeed?
Source: http://www.forbes.com/sites/stevedenning/2012/10/31/dont-diss-the-paradigm-shift-in-management/

36. 36
 But: Previous
generations also had
unique habits.
 And: All firms must
acknowledge the need
to accommodate.
(Otherwise,
millennials must just
adapt to the world of
work, as did previous
generations.)
 So: What is different
today that makes this
gen’s demands so
powerful?
Source: http://theweek.com/article/index/232375/how-millennials-are-transforming-the-workplace

37. 37
People

38.  Digital disruption empowers consumers
 Outside – In (Forrester)
 Delighting customers (Steve Denning)
 The consumer expectation/demand for
positive experiences
38@tim_walters@just_clarity

39. 39@tim_walters@just_clarity

40. 40

41. 41
Source: Harris Interactive survey of North American consumers, 2011.

42. 42
Source: Okeeffe & Company survey of 1,342 senior executives, 2012.
Global executives say the cost of
not providing “positive, consistent,
and brand relevant experiences” is
20% of total revenue

43. “Consumers are empowered by information
and shared opinions, and they are emboldened
by choice. They have developed an appetite
for rich and rewarding interactions, and they
rarely hesitate to seek alternatives when
disappointed. Increasingly, companies will
succeed and fail according to the quality of the
experiences that they offer.”
- The CEM Imperative: Experience Management in the Age of the Empowered Consumer
Digital Clarity Group
43@tim_walters@just_clarity

44. 44
People

45. what it means
45

46. 46
• Business justification
• Clear/measurable impact, value
proposition, ROI
• A driver for org
transformation
• A justification for social
practices and tools (i.e.,
specific value-generating
activities
• Business driver that
justifies a radical shift in
practice
• A “why” that proves a
radical shift in the
conditions of value
production
 Support for digitization/automation
of work
 Structure and accelerator for
business transformation
 Org-wide support
 Fundamental
transformation of
business practices (e.g.
outside-in)
 (Software) support for
agility, responsiveness,
innovation,
“consumerization”
 Cure for declining
business performance
 Structure for
organization-wide
customer-centricity
@tim_walters@just_clarity

47.  Social is not appreciated if held to traditional
standards (e.g., ROI)
 Social will not be widely adopted if it is judged by
(and aspires only to) the established goals of
efficiency, productivity, and cost reduction
 Social will not be successful if it is a collaborative
façade on traditional hierarchical organizations
 Social will not be effective if it serves as a Band-Aid
on the gaping wounds of non-customer-centric
companies
 CEM is the inescapable business imperative – and
provides the necessary business focus for social,
organizational change, and the future of work
47@tim_walters@just_clarity

48. Tim Walters, Ph.D. | Partner, Principal Analyst
@tim_walters
twalters@digitalclaritygroup.com
www.digitalclaritygroup.com