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

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The name implies, first, the state of social business (right) now

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But also the “social movement”

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. . . which is losing patience

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. . . 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/

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Growth is slowing – dramatically

≅50%

≅78%

≅8%

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

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Deployment falters at “the chasm”


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Early adopters don’t . . . adopt


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Trivial impact on daily work


“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.”

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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”

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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.

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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.)

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Why isn’t social working? (My list)

§  Misunderstanding social

§  Platform megalomania

§  Inattention to knowledge processes

§  “Up with people!”

@6m_walters

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

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

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Enterprise Social Adoption (aka the Lemming Curve)

Supporting people is not enough

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80% OF SOCIAL BUSINESS EFFORTS WILL Not HIT THE MARK FOR

INTENDED BENEFITS

Source: Gartner, January 2013 @6m_walters

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at

WORK @6m_walters

§  Lack of urgency

§  Middle management forgotten

§  No real empowerment

§  Fragmented digital environments

§  A lot to learn about change

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Why isn’t social working? (Jane McConnell)

Source: h?p://www.netjmc.com/social-‐collabora6on/5-‐reasons-‐social-‐intranets-‐have-‐not-‐taken-‐off/

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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

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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

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. . . and rewards dehumanizing practices

Source: h?p://www.forbes.com/sites/stevedenning/2012/10/31/dont-‐diss-‐the-‐paradigm-‐shiI-‐in-‐management/

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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

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. . . 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)


11. “The philosophers have

only interpreted the world in various ways. The point

is to change it.”

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The Godfather of Change Management

The social tools have only interpreted the world of

work in various ways. The point is to change it.

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The Mother of All Change Agents?

@6m_walters

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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.”

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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.”

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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)?


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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: h?p://www.forbes.com/sites/stevedenning/2012/10/31/dont-‐diss-‐the-‐paradigm-‐shiI-‐in-‐management/

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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

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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

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What has changed?

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Consumers gain voice and choice

@6m_walters

Only

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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

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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

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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

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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

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How you think of consumers

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

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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.

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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

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Accommodating Millennials?

what it means

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WIM

Provides -  Support for digitalization/

automation of work -  Structure and accelerator for

business transformation

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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

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Social now – and for the future

@6m_walters

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

Think of CEM as gravity.

Tim Walters | Partner, Principal Analyst

@tim_walters

[email protected]

www.digitalclaritygroup.com

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

Leadership & Management

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