1. The Social Web nContacto - 2011 cc 1

2. Who I am? Father of two boys Evangelist of business models based on collaboration and social networking. Chief Officer of nContacto Expert on Enterprise Communities of Practice WW Compliance Manager in the business of Printing Systems Management at HP Former CFO and Controller for Hewlett Packard Venezuela. Chemical Engineer (ITESO Guadalajara) MBA in Finance (ITESM campus Guadalajara) Experienced educator President of the Houston Chapter of the Mexican Talent Network Co-founder and active member of the Alumni Association ITESM in Houston (Ex-A-Tecs) Follow Me: pplopez.mp twitter.com/pplopez www.inkedin.com/in/joseluislopez facebook.com/jose.luis.lopez.mota friendfeed.com/pplopez pplopez.tumblr.com pplopez.posterous.com stumbleupon.com/stumbler/PePeLopez delicious.com/pplopez www.slideshare.net/pplopez PP_Lopez 2

3. Topics What is Web 2.0 ? Principles of Web 2.0 Understanding effects of Web 2.0 Communities How to start Enterprise 2.0 3

4. If time permits… The Long Tail Your Digital Identity Usability 4

5. What is web 2.0? 5

6. “Web 1.0 was Commerce Web 2.0 is People” - Ross Mayfield 6

7. Web 2.0 The term Web 2.0 refers to a second generation of services available on the World Wide Web that lets people collaborate and share information online. closer experience to desktop applications than the traditional static Web pages (Web 1.0). allow for mass participation (web-based social software - blogs and wikis). the phrase refers to one or more of the following: The transition of websites from isolated information silos to sources of content and functionality -> computing platforms serving web applications to end users Approach to creating and distributing Web content itself (open communication, decentralization of authority, freedom to share and re-use, and "the market as a conversation“) A more organized and categorized content A shift in economic value of the web, possibly surpassing that of the dot com boom of the late 1990s A marketing term to differentiate new web businesses from those of the dot com boom The resurgence of excitement around the possibilities of innovative web applications and services http://en.wikipedia.org/wiki/Web_2.0 7

8. WWW was born! Web 2.0 Conference Linkedin Facebook Google Twitter sixdegrees Friendster Mosaic (Netscape) Yahoo! MySpace History .com Bubble Source: Wikipedia 8

9. Vastly increased scale of users and content…. Source: Wikipedia 9

12. Younger generations pioneer the use of personal networks and viral communicationSource: Forrester 10

14. Consumer mind-shifts... Only 42% of consumers say they even “somewhat” trust newspapers Consumer trust is falling Consumers are less brand loyal 52% of consumers say brand trumps price, down from 59% in 2000 Consumer-to-consumer activities growing C2C eCommerce, messaging, blogs, camera phones, video phones Consumers are customizing products and services 10% - 40% of customers develop or modify products Source: Forrester 12

15. What’s Changed Web 2.0 attributes differ from those of traditional web apps in numerous ways 13

16. Web Evolution 14 Social Social again!

17. Web 2.0 Web 1.0 15

18. Web 2.0 Examples www.slideshare.net/tippydawn/web-20-tools-to-inspire 16

19. Principles of web 2.0 17

20. Principles of Web 2.0 No Products, but Services Customization Focus on the “Long Tail” Harnessing Collective Intelligence Specialized Database Who owns the data End of Software Release Cycle Software above the level of a single device 18

21. No Products but Services “There are no products, only solutions” Not what customer wants but why they want A problem solving approach Simple Solutions 19

22. No Product but Services 20 www.mint.com

23. Customization Every individual is unique Some people want to be different Allow him to choose instead of forcing him to use what you have made Make him feel home 21

24. Customization 22 Screen clipping taken: 2/3/2011, 5:50 PM Screen clipping taken: 2/3/2011, 5:53 PM www.ning.com

25. Focus on the “Long Tail” Reach out to the entire web To the edges and not just to the centre, to the long tail and not the just the head Put everything there Leverage customer-self service 23

26. Focus on the “Long Tail” 24 www.netflix.com

27. Harnessing Collective Intelligence Network effects from user contribution are the key to market dominance in Web 2.0 era The Wisdom of crowds – Users add value Systems designed to encourage participation Pay for people to do it – ‘gimme five’ Get volunteers to perform the same task Inspired by the open source community Mutual benefits e.g. P2P sharing It requires radical experiment in trust 25

28. Harnessing Collective Intelligence 26 www.kickstarter.com

29. Specialized Database Every significant application to date has been backed by a specialized database Database management is the core competency of Web 2.0 companies “Infoware” rather than merely “software” 27

30. Specialized Database 28 www.foursquare.com

31. Who owns the data Control over data has led to market control and oversized financial returns It will provide a sustainable competitive advantage to the company Especially is data sources are expensive to create or amenable to increasing returns via network effects Race is to own certain classes of core data e.g. naukri.com, 99acre, yahoo 29

32. Who owns the data 30 www.flickr.com

33. End of the Software Release Cycle “Release Early and Release Often” “Perpetual BETA” Daily operations must become a core competency Software will cease to perform unless it is maintained on a daily basis Real time monitoring of user behavior 31

34. End of the Software Release Cycle 32 www.docs.google.com

35. Software above the level of a Single Device The PC is no longer the only access device for internet applications Applications that are limited to a single device are less valuable than those that are connected. Design your application from the get-go to integrate services across handheld devices, PCs, and internet servers. 33

36. Software above the level of a Single Device 34 www.evernote.com

37. understanding effects of web 2.0 35

38. So to understand how to do business in a 2.0 world… You are better off understanding Human 1.0 – not as individuals, but as hyper-social creatures You do not need to understand the Web 2.0 technologies 36

39. It’s more about the people than the technology 37

40. Connect & Communicate 38

41. What’s happen? 39

42. What are the important Human 1.0 Hyper-Social Traits Reciprocity – it’s a reflex that allows us to be the only super-social species without all being brothers and sisters Social framework - Evaluating things vs. market framework Fairness - The role of fairness and punishment in assessing situations Mimicking Others - The importance of looking cool and imitating others Herding and self-herding – We like to gather Meritocracy – Status and reputation matters Source: The Hyper-Social Organization – F. Gossieaux & E. Moran 40

43. Hyper-Social companies think differently: a recap Think tribe – not market segment We need to find groups of people who have something in common based on their behavior, not their market characteristics Think knowledge network – not information channel The most important conversations in communities happen in networks of people, not between the company and the community. Think human-centricity – not company-centricity The human has to be at the center of everything you do, not the company Think emergent messiness – not hierarchical fixed processes People will want to see responses to their suggestions, even if it does not fit your community goals – FAST Source: The Hyper-Social Organization – F. Gossieaux & E. Moran 41

44. Turning a business process into a social process Running traditional programs using social media platforms Source: The Hyper-Social Organization – F. Gossieaux & E. Moran 42

45. Turning a business process into a social process Running programs based on human reciprocity and social contracts to get others Source: The Hyper-Social Organization – F. Gossieaux & E. Moran 43

46. communities 44

47. A community 45

48. A domain of interest Gosport Allotment Holders & Gardeners Association 46

49. A place to meet 47

50. Someone to facilitate 48

51. 3 Types of Communities Communities of Passion - have the richest and most formal set of activities, governance, and structure Communities of Practice - are less formal and are based on common work specialties Communities of Interest - are for topics that don’t require formal communities but need threaded discussions for collaboration and knowledge sharing 49

53. Develops members to fit into this role, be proficient in this role, and actively help others to develop in this role

54. Motivation: master the disciplinesourceforge.net 50

56. Various roles can participate

57. Focused on developing expertise and skills in this specialty

58. Motivation: learn about the specialty and solve problemswww.realtown.com 51

60. No commitment in terms of delivering something together

61. Motivation: stay current on the topic and ask questionsfacebook.com Group EXATEC HOUSTON - ITEMS 52

62. Richard McDermott on Communitieswww.mcdermottconsulting.com Healthy communities have a driving purpose, clear activities, and a sense of accomplishment Communities are becoming integrated into organizations Community facilitationand participation are real work and require time Core community members are well-connected through meetings and ongoing contact Healthy communities have high management expectations and support The heart of a community of practice: peer-to-peer relationships responsibility for stewarding a body of knowledge membership crosses boundaries room for dealing with whatever comes up 53

63. Patterns of contribution 1% active contributors 9% occasional contributors The 1-9-90 rule Number of contributions 90% readers (aka ‘lurkers’) Number of participants Source:Jacob Nielsonwww.useit.com/alertbox/participation_inequality.html 54

64. The “1% Rule” For every 100 people online only 1 person will create content and 10 will “interact” with it. The other 89 will just view it. Each day at YouTube there are 100 million downloads and 65,000 uploads 50% of all Wikipedia article edits are done by 0.7% of users, and more than 70% of all articles have been written by just 1.8% of all users In Yahoo Groups, 1% of the user population might start a group; 10% of the user population might participate actively. 100% of the user population benefits from the activities of the above groups Source: The Guardian 55

65. Members of an active community 90% Outsiders 9% Lurkers Facilitators Contributors 1% Activist Facilitator en.wikipedia.org/wiki/1%25_rule_(Internet_culture) 56

66. How to start 57

67. Levels of Engagement Become an expert Become a mentor Write a blog Ask a question (with attribution) Comment (with attribution) Level of engagement Register Waxing and Waning Interest Comment (Anonymously) Browse, search, learn (Anonymously) Type of engagement 58

68. Start Contributing Identify Yourself Search & Explore Content Know more About Save & Share Links / Bookmarks Subscribe Store & Distribute Documents 59

69. Start Contributing Express & Discuss Ideas Communicate & Get Feedback Learn & Share Knowledge Produce & publish content Invite to Events Work together 60

70. Enterprise 2.0 61

71. The “Long Tail” of Work Multi-tasking Enriched jobs, several roles Broad span of control, flat organizations Tons of emails daily Calendar overloaded of meetings and calls 3-digits number of direct contacts People located around the world Multi-language, multi-cultures Phone, email, instant messaging, virtual meetings, twitter, facebook, etc. Did I mention face-2-face (occasionally)? Only 24 hours at day….. 62

72. Fundamental Shifts on Organizations More virtual, few human interaction Communities requires face-to-face meetings Micro formats of knowledge PowerPoint slides, no longer reports People is not reading, they are scanning Tragedy of knowledge common sense

73. Balancing the Growing Costs 64

74. Exploration & Production Senior VP Mares Exploration Drilling Production Avery McWatters Milavec Ramirez Production Reservoir Geology Petrophysical Hassan Hopper Dhillon Crossley Sutherland Waring Smith Myers Cordoza Keller Angelo Klimchuck Mitchell Schultz Zaheer Formal vs. Informal Structures What Do You Notice When You Compare the Formal and Informal Structures? Formal Structure (Org Chart) Informal Structure (revealed in ONA) Hussan Milavec Hopper Waring Dhillon Mitchell Mares Zaheer Myers Avery Smith Schultz Keller Cordoza McWatters Crossley Angelo Sutherland Ramirez Klimchuck

75. Enterprise 2.0 Informal, less structure, knowledge-based work of a company Balance of formal structures and informal networking IT enabled application of Web 2.0 to corporate environment SLATES Enterprise-wide Social Networks Hyper-Collaboration Wiki-culture 66

76. Components of Enterprise 2.0 Six components (SLATES): Search Links Authoring Tags Extensions Signals 67 http://sloanreview.mit.edu/smr/issue/2006/spring/06/

77. Levels of Collaboration Groups utilizing systems to make sense and share complex materials and data Core product enhanced by a social component, deeper participation to interact Low-barrier social involvement like voting and the recording of personal participation

78. Key decisions needed for success A Receptive Culture A Common Platform An Informal Rollout Managerial Support 69

79. usability 70

81. Usability Principles 72

83. Your digital identity 74

84. Socialize Think, then share URL it! Be Transparent Be Personal Contribute Be reciprocal Set the stage 75

85. Create your Digital Identity Show who you are Express yourself Know your tools Keep simple Know your audience 76 My profile My blog My feeds My tags My pictures My presentations My places My videos

86. Me - First 77

87. Personal Identity 78

88. Company Identity 79

89. The long tail 80

90. Understandingthe Long TailA powerlaw 81

91. Where are they all going? 82

92. Savagely truncated Box office Films 83

93. An example of the Long Tail 84

94. Six Themes of the Long Tail age There are far more niche goods than hits Cost of reaching those niches is now falling dramatically. New “filters” can drive demand down the Tail Once there’s a massively expanded variety and the filters to sort throught it, the demand curve flattens There are so many niche products that collectively they can compromise a market rivaling the hits. Then, the natural shape of demand is revealed A Long Tail is just culture unfiltered by economic scarcity 85

95. Three Forces of the Long Tail 86

96. references 87

97. Bibliography 88

98. Bloggraphy 89

99. Slidegraphy Web 2.0 – The Social Web (this presentation!) http://www.slideshare.net/PPLopez/web-20-the-social-web-6806313 What is Web 2.0 www.slideshare.net/adunne/what-is-web-20-157107 Web 2.0 Tools to inspire www.slideshare.net/tippydawn/web-20-tools-to-inspire Web 2.0 www.slideshare.net/kikollan/an-introduction-to-web-20-the-user-role An introduction to Web 2.0 www.slideshare.net/kikollan/an-introduction-to-web-20-the-user-role Webinar: The Hyper-Social Organization www.slideshare.net/AwarenessLIVE/webinar-the-hypersocial-organization 90

100. Follow Me! 91 pplopez.mp

101. Thanks! 92