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Web 2.0 Expo Speech: Open Leadership

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Web 2.0 Expo speech May 6, 2010 by Charlene Li entitled, "Open Leadership: How Social Technology Can Transform How You Lead". Learn more at open-leadership.com

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Web 2.0 Expo Speech: Open Leadership

  1. Open Leadership: How Social Technology Can Transform The Way You Lead<br />Charlene Li<br />Altimeter Group<br />May 6, 2010<br />1<br />#openleader<br />
  2. More people visit Facebook than Yahoo!<br />
  3. 4<br />It’s aboutrelationships<br />
  4. 5<br />Why is social hard?<br />Because realrelationships require that you give up control <br />
  5. The need for open leadership <br />6<br />When people get what they need from each other<br />“How open do I need to be?<br />
  6. Defining Open Leadership<br />7<br />Having the confidence and humility to give up the need to be in control,<br />while inspiring commitment from people to accomplish goals<br />How to give up control, and be in command<br />
  7. Best Buy’s First Social Media Experts<br />8<br />Steve Bendt & Gary Koelling<br />
  8. They harnessed Best Buy’s biggest asset<br />9<br />The Blue Shirts<br />
  9. BlueShirtNation.com supported Best Buy’s front line employees<br />
  10. Steve & Gary had an executive sponsor<br />11<br />Barry Judge CMO of Best Buy<br />
  11. They kept telling him one thing…<br />12<br />“Barry, you gotta get a blog!”<br />
  12. Barry’s first post<br />13<br />“I was so relieved when it was over—it was just two sentences to get started.” <br />
  13. The Premier Black Fiasco<br />14<br />6.8 million emails sent instead of 1,000 test<br />
  14. Barry’s response<br />15<br />“…we screwed up the execution which makes me feel sick about the customer trust that we have impacted.”<br />
  15. Openness became a strategy<br />16<br />Open market testing of new logo<br />
  16. +2,200 Best Buy employees provide support on Twitter<br />17<br />
  17. Focus on relationships, not technologies<br />What kind of relationship do you want?<br />Transactional<br />Occasional<br />Impersonal<br />Short-term<br />Passionate<br />Constant<br />Intimate<br />Loyal<br />
  18. Four goals define your open strategy, but always start with learn<br />19<br />
  19. Go beyond traditional customer data<br />20<br />Demographic<br />Geographic<br />Psychographic<br />Behavioral<br />Socialgraphic<br />
  20. 21<br />Curating<br />Engagement Pyramid: Focus on Watching and Sharing<br />Producing<br />Commenting<br />Sharing<br />Watching<br />
  21. Dialog with your community<br />22<br />
  22. DellOutlet drives sales with Twitter<br />23<br />
  23. Help your members support each other<br />24<br />
  24. Social moves into enterprise apps<br />Salesforce Chatter<br />Service Cloud w/social<br />LinkedIn in Lotus Notes<br />25<br />
  25. Innovate with customer feedback<br />26<br />
  26. Starbucks involves 50 people around the organization<br />
  27. What to do first<br />
  28. #1 Align openness with strategic goals<br />29<br />Examine your 2011goals<br />Pick one where open and social can have an impact <br />
  29. 30<br />#2 Understanding the value<br />“We tend to overvalue the things we can measure, and undervalue the things we cannot.” <br /> - John Hayes, CMO of American Express<br />Value of +5 million fans?<br />
  30. The new lifetime value calculation<br /><ul><li> Percent that refer
  31. Size of their networks
  32. Percent of referred people who purchase
  33. Value of purchases</li></ul>+ Value of purchases<br /><ul><li>Cost of acquisition</li></ul>____________________<br />= Customer lifetime value<br />+ Value of new customers from referrals<br />+ Value of insights<br /><ul><li> Percent that provide support
  34. Frequency and value of the support</li></ul>+ Value of support<br />+ Value of ideas<br />Learn more: Webinar this Friday 5/7 bit.ly/openleaderweb2<br />
  35. #3 Understand how open you need to be<br />32<br />
  36. Determine how open you need to be to meet your goals<br />33<br />
  37. #4 Find and develop you open leaders<br />34<br />Collaborative<br />Independent<br />Optimist<br />Pessimist<br />
  38. 35<br />#5 Prepare your organization<br />Ideally, you should be at “4.0” for launch.<br />Area of opportunity.<br />
  39. Social media triage<br />36<br />Take reasonable action to fix issue and let customer know action taken<br />Negative<br />Positive<br />Yes<br />Yes<br />No<br />Assess the message<br />Evaluate the purpose<br />Do you want to respond?<br />Does customer need/deserve more info?<br />Unhappy Customer?<br />No Response<br />Yes<br />Are the facts correct?<br />Gently correct the facts<br />Yes<br />No<br />No<br />No<br />Can you add value?<br />DedicatedComplainer?<br />Are the facts correct?<br />Yes<br />Yes<br />No<br />No<br />Yes<br />Respond in kind & share<br />Thank the person<br />Comedian Want-to-Be?<br />Explain what is being done to correct the issue.<br />Is the problem being fixed?<br />Yes<br />No<br />Yes<br />Let post stand and monitor.<br />
  40. Create a culture of sharing<br />
  41. #^ Embrace failure<br />38<br />
  42. Buyer blog hit the right note<br />39<br />
  43. Manage risk with Sandbox Covenants<br />40<br />
  44. What the future will bring<br />41<br />Social networks will be like air<br />
  45. Focus on relationships. <br />Align your social strategy with strategic goals.<br />Support open leaders in your organization.<br />Be prepared for failure – you’ll encounter many.<br />Summary<br />42<br />
  46. 43<br />43<br />Thank you<br />Charlene Li<br />charlene@altimetergroup.com<br />charleneli.com/blog<br />Twitter: charleneli<br />For slides, send an email to slides@altimetergroup.com<br />Learn more and buy the book atopen-leadership.com<br />