Social, Now? What Will (Finally) Change the World of Work?

Social, Now?
What will (ﬁnally) change the world of work?
Social
Now
Amsterdam
2014

Tim Walters, Partner and Principal Analyst
Digital Clarity Group

Ana introduced me to Social Now
2
@6m_walters

The name implies, ﬁrst, the state of
social business (right) now
3
@6m_walters

4

But also the “social
movement”

5

. . . which is losing
patience

6

. . . and getting anxious

Dreary news from the front
7

Source:
h?p://www.netjmc.com/business-‐value/decrease-‐of-‐interest-‐in-‐enterprise-‐social-‐soIware-‐signals-‐a-‐shiI-‐from-‐tool-‐to-‐behavior/

8

Growth is slowing – dramatically
≅50%

≅78%

≅8%

Source:

9

Deployment falters at “the chasm”
Source:

10

Early adopters don’t . . . adopt
Source:

11

Trivial impact on daily work
Source:

“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.”
12

MIT/Sloan 2013 Global Study
Source:
“Social
Business:
ShiIing
Out
Of
First
Gear”
Based
on
survey
of
2545
execu6ves
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
marke6ng
intelligence.

@6m_walters

§  “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”
13

Avanade Global Survey of Ent. Social
Source:
“Is
enterprise
social
collabora6on
living
up
to
its
promise,”
May
2013.
Survey
of
1000
business
leaders
and
4000
employees.

14

It’s safe to say . . .
Social tools are
the green eggs
and ham of
enterprise
software.
(Social advocates badger
reluctant employees to
try/adopt them. In the
book, it works – thus
conﬁrming it’s a work of
ﬁction.)

15

Why isn’t social working? (My list)
§  Misunderstanding social
§  Platform megalomania
§  Inattention to knowledge processes
§  “Up with people!”
@6m_walters

16

h?p://www.ﬁlm.com/wp-‐content/uploads/2012/05/UWPColwellslowres.photo_.jpg

Really? If it’s all about the people, why
do so many initiatives look like this?
18
@6m_walters

Enterprise Social Adoption
(aka the Lemming Curve)

Supporting people is not enough
19

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

@6m_walters

20

at

WORK
@6m_walters

§  Lack of urgency
§  Middle management forgotten
§  No real empowerment
§  Fragmented digital environments
§  A lot to learn about change
21

Why isn’t social working? (Jane
McConnell)
Source:
h?p://www.netjmc.com/social-‐collabora6on/5-‐reasons-‐social-‐intranets-‐have-‐not-‐taken-‐oﬀ/

22

What will (ﬁnally) change the world
of work?
Social tools

“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
Better: How and WHY?
23

Source:
h?p://www.netjmc.com/business-‐value/decrease-‐of-‐interest-‐in-‐enterprise-‐social-‐soIware-‐signals-‐a-‐shiI-‐from-‐tool-‐to-‐behavior

24

Why? Traditional business is
broken . . .
Source:
h?p://www.forbes.com/sites/stevedenning/2012/10/31/dont-‐diss-‐the-‐paradigm-‐shiI-‐in-‐management/
.
Deloi?e
analysis
of
20,000
US
Frims

Return on assets
and invested
capital are ¼ what
they were in 1965.

“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

. . . and rewards dehumanizing
practices
Source:

26

How? Ask the Change Agents
§  “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:
h?p://changeagentsworldwide.com/book/1

27

. . . and ask some others, too
§  “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:

11.
“The philosophers have
only interpreted the world
in various ways. The point
is to change it.”
28

The Godfather of Change
Management

The social tools have only
interpreted the world of
work in various ways. The
point is to change it.
29

The Mother of All Change Agents?
@6m_walters

30

But . . . notice what Marx does not say
They should change it.
We must change it.
You ought to change it.
Someone, anyone, please change it!

“The point is to change it.”
31

Where’s the Change Agent?
Es kommt drauf an, sie zu verändern.
(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.”

32

1. Today’s employees
§  “[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:

33

2. Yesterday’s Change Agents
§  “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:

34

3. Accommodating Millennials
§  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:
h?p://theweek.com/ar6cle/index/232375/how-‐millennials-‐are-‐transforming-‐the-‐workplace

35

of work?
Social tools
People
A change in conditions?

§  Digital disruption empowers consumers
§  Outside – In (Forrester)
§  Delighting customers (Steve Denning)
§  The consumer expectation/demand for
positive experiences
36

What has changed?

37

Consumers gain voice and choice
@6m_walters

Only

38

1%

feel
their

expecta6ons

for
good

customer

service
are

always
met

Source:
Harris
Interac6ve
survey
of
North
American
consumers,
2011.

Among U.S. consumers
@6m_walters

39

Say they have switched business
to a competitor due to poor
customer experience
Source:
Harris
Interac6ve
survey
of
North
American
consumers,
2011.
Commissioned
by
RightNow.

@6m_walters

40

Source:
Okeeﬀe
&
Company
survey
of
1,342
senior
execu6ves,
2012.

Global executives say the cost of
not providing “positive, consistent,
and brand relevant experiences” is
20% of total revenue@6m_walters

“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
41
@6m_walters

42

of work?
Social tools
People
þ A change in conditions= empowered consumers= CEM

Agent
Drivers
Iner-a/Inhibitors

Vendors

Compe66ve
diﬀeren6a6on;

client
needs

Est.
business
model;
installed

base
(switching
cost)

Enterprise
(end
users)

Customer
sa6sfac6on,

revenue,
shareholder
value

Customer
expecta6ons;

security/regulatory
reqs

Consumers

Convenience,
pleasure,

relevance,
empowerment

43

Seeking Change Agents
§  Consumers relate “purely” to change. They “dictate” the
future because they have no interest in it.
§  “Consumerization of IT” really means: Aspire to make IT
digital experiences as responsive, flexible, open, and
hungry as today’s digital consumer.
@6m_walters

44

How you think of consumers
Source:
h?p://www.na6onalgrocers.org/resource-‐center/nga-‐research/consumer-‐panel-‐survey
@6m_walters

45

How you should think of consumers
Source:
h?p://www.thena6onal.ae/lifestyle/web-‐goes-‐truly-‐worldwide-‐with-‐smartphones
@6m_walters

Consumer no longer names a buyer, or
even a person. It is a name we give to
the process of change.
46

Change is the only constant
@6m_walters

§  Millennials are a mindset, not an age group
§  They bring (in)to work the changed conditions of
the business environment
§  They represent and literally embody the appetites,
expectations, and unarticulated desires of
consumers
§  The millennial mindset should not be
“accommodated,” it should be leveraged as an
(in)valuable asset
§  Work (places, process, structures) change for the
sake of consumers . . . and benefit employees
(millennial or not) (only) as a result
47

Accommodating Millennials?

Provides
-  Support for digitalization/
automation of work
-  Structure and accelerator for
business transformation
49

Social

CEM

Org

Transforma6on

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

§  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
50

Social now – and for the future
@6m_walters

51

“You may hate gravity, but
gravity does not care.”
(Clayton Christensen)
Think of CEM as gravity.

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

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