1. Socially Synergistic Enterprises
the human side of the smarter planet
Balancing Internal and External Collaboration to Improve Innovation
Marcel Baron
10 June 2011
5th Annual
New Product Development Strategies

2. © 2011 IBM Corporation

3. © 2011 IBM Corporation

4. Team-Based Management
Integrated Product Development Team Relationships
Functional Management
Investment Review Board (IRB)
*May not exist in specific Brand
Integrated Portfolio
Management Team (IPMT)
Project Development Team
(PDT)
DCT/OT &
functional teams
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5. IBM – Integrated Product Development
© 2011 IBM Corporation

6. Integrated Product Development (IPD) Overview
Integrated Portfolio Management Team (IPMT)
IBM Marketing Approach:
Market Information
2.0 Develop/ Manage 3.0 Plan/Manage 5.0 Execute
1.0 Understand the 4.0 Plan and
Strategy & Offerings/ Programs/
Marketplace Manage Programs
Customer Feedback Positioning Solutions Measure
IPMT
Competitor Information
Sponsor
Technology Trends Project Proposals C Products
O Solutions
Strategy N Profit
Marketplace insights T
Concept Plan R Develop & Qualify Launch Life-cycle Satisfied
Opportunity
Current Portfolio Customer Targets
A
C
Customers
Value Proposition T
Messaging
Concept Plan Availability End-of-Life
DCP DCP DCP DCP
Project Development Team (PDT)
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7. H3 investigation feeds H2 growth and finally H1 exploitation
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8. EBO investment decision criteria should evaluate market,
technology, business, and organization attractiveness
Market Size
Market Trends
Customer Pull
Example
Market Attractiveness (%) Technology Attractiveness (%)
Technology Maturity
Technology Trends
Standards & Architectures
Competitive Position Intellectual Property
Strategic Control Points Solution Positioning
Business Attractiveness (%) Organization Attractiveness (%)
Business Model (Value Chain) IBM Strategy Fit
Differential Advantage / Value EBO Strategy Fit
Proposition Core Competencies/Skills
Value Capture/Profit Model Technology Innovator
"Game Changer" Potential Capability
Market Timing Business Unit Receptivity
% weighting may be applied, if needed
Source: Compilation of IBM's EBO Community of Practice ideas and practices
© 2011 IBM Corporation

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10. Innovation @ IBM
https://www.collaborationjam.com/
© 2011 IBM Corporation

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12. WHERE ARE YOU IN BECOMING A SOCIAL BUSINESS ?
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13. Socially Synergistic Enterprise Solutions:
The Human Side of the Smarter Planet
Socially synergistic enterprise solutions
let businesses and other organizations
combine people, data, and analytics in new
ways to achieve revenue growth, discover
opportunities, enhance customer and partner
relationships, improve resiliency and
efficiency, and achieve improved outcomes.
These solutions will be facilitated by a framework
and consumable components to effectively
integrate computation with human cognition
and action.
© 2011 IBM Corporation

14. Convergence of Social and Analytic Technologies Transform the
Way Businesses Operate
Socially Synergistic Enterprise Solutions
New top-line opportunities, better relationships with customers and partners,
enhanced talent pool, increased resiliency and efficiency
Individuals
Teams
Analytics Social Organizations
Society
Business
 Data aggregation Process  Customer Sentiment
 Smart filtering Transformation  Unmet Needs
 Meaning extraction  Talent Discovery
 Consumable analytics  Reasoning and Decision Support
 Process orchestration  Crowdsensing, Crowdsourcing
 Stream processing  Teaming, Incentives, Motivation
Data
Physical Social
Enterprise
Sensors & Streams Data from and about People
© 2011 IBM Corporation

15. Adoption of Social Tools is Increasing Rapidly
Growth in Adult Usage of Social Network Sites, 2005-2009
Companies plan to increase spending on social despite recession
Public Enterprise
Fortune Global 100 Companies
US Mobile Subscribers
Accessing Social Sites Companies with ... Twitter Accounts Facebook Fan Pages YouTube Accounts
(Thousands) 65%
54% 50% 72% 71% 69%
65% 67% 59%
Jan-09 Jan-10 Change 54% 52% 52%
50%
33% 40%
40%
Facebook 11,874 25,137 112% 33% 35% 33%
MySpace 12,338 11,439 -7%
Twitter Facebook YouTube Corporate
Total US Europe Asia LatAm Total US Europe Asia LatAm Total US Europe Asia LatAm
Twitter 1,051 4,700 347% Accounts Fan Pages Channels Blogs
Source:comScore MobiLens Source:Burston-Marsteller
© 2011 IBM Corporation

16. Social Technologies Used in Point Processes
Social network-based advertising Social computing and community forums
achieved 70% ROI, outpacing lower customer and partner support costs. Location based social incentives
TV and Online marketing One question viewed 37k times, saving ~$70k.
Promotion Support Promotion
Listening to buzz on Youtube and Crowdsourcing new product Crowdsourcing new features.
Facebook led to creation of High Fructose and promotion ideas increases Reports $3M in revenue using Twitter
Corn Syrup-free Hunts Ketchup customer loyalty to notify customers of deals
Marketing Marketing Marketing, Promotion
Connections-based employee social
Sold 2.5 million kits
collaboration with over 500 cross-silo
leveraging social and
communities. One generated 118 ideas Automotive industry exploring integrating social game techniques
being implemented. capabilities to enhance car experience
Internal Integrated Offering Integrated Offering
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17. Customer Care and Insight
Transforming how a Company Manages its Brands
30,000+ 2 billion+
Large consumer Issue discovered in enterprise
sales and market-basket data
100000+
discussio
news
feeds
blog
postings
twitter
activity
product company Losing share to a competitor in a key
n forums
topic identification
sentiment and brand
market
association analysis
Correlation and analysis of external
(message boards, blogs, newsfeeds,
tweets) and internal (customer calls,
sales, ad spend, KPIs, etc.) to identify root
cause
Marketing Managers and other employees diagnose issue, develop solutions,
make go/no -go decisions. Collaborative Reasoning decision tools structure
process, populate with relevant data, support what-if predictive analyses.
Question arises on whether shelf placement has changed.
Query broadcast to supermarket field reps to crowdsource quick response,
which is automatically tabulated, comments analyzed, insights extracted and fed
back into decision space.
IBM DIFFERENTIATOR: Ability to integrate and analyze internal enterprise and external data.
© 2011 IBM Corporation

18. Research Asset: Voice of the Customer Analytics
Managed Service Providing Actionable Marketing Insights
Enterprise Contact Points
Customer
Branch office Call Center Self Service IVR
Agent Web
Unstructured Structured
Structured
Data Call logs, Transcripts Customer/Product
Agent Data
Emails, Surveys Transaction Data
Enterprise
products
and services
Analytics Integrate and Analyze Structured and Unstructured Data
 Customer Intelligence  Dissatisfaction Drivers
Insights  Agent Performance
 Process Understanding  Sales Drivers
“… helped us improve our operational efficiency and customer “…given us a tremendous differentiation in the market place
satisfaction. This enables us to take swift pro-active mitigation to realize significant business impact. This really provides us
action to improve the customer’s satisfaction and help our client an edge over many of our competitors who simply don‘t have
retain the customer… “ the technology to deal with unstructured data..”
Suppiah Karuppiah, Director and Senior PE, GM Cars Account Bill Payne, VP, CRM and Industries, GPS
© 2011 IBM Corporation

19. Current Project: Visual Backchannel Monitoring Twitter activity
Prototype: used at Lotusphere,
USAID WorldJam, IOD, VizWeek 2010, etc.
Trending terms on twitter fed to
internal analytics to recognize
problem and automatically
create team for quick action
© 2011 IBM Corporation

20. Workforce Optimization
Transforming how IBM Optimizes its Services Workforce
Sourcing Talent Developing Talent Retaining Talent Managing Workforce
Find and acquire talent in the right place Grow employees through traditional and Retain desired talent through innovative Improve workforce productivity &
and time to meet business objectives collaborative learning and development performance and compensation initiatives efficiency
1. Project needs talent skills
Skill
performance in similar projects Modeling
2. Determine best mode of work: experience
individual, team, crowdsource Outcome
interests Repositories
3. Find best available people who has worked well with whom Collaboration
and teams based on range of motivations and incentives
logs
organizational and personal
Social
goals and context personal development goals Analysis
organizational future needs
4. Orchestrate, support and Development
and development goals Goals
analyze tacit work
Collaborative Supply and
Demand Prediction
© 2011 IBM Corporation

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22. © 2011 IBM Corporation