Executive Vice President of Strategy for Dachis Group, Dion Hinchcliffe presents: Designing a Successful Social Business Solution for High-Impact ROI @dhinchcliffe For more information, please visit http://www.tibbr.com/

1. Designing a Successful Social Business
Solution for High-Impact ROI
Dion Hinchcliffe (@dhinchcliffe)
Sponsored by

2. Introduction
Spring 2012
Dion Hinchcliffe
• ZDNet’s Enterprise Web 2.0
• http://blogs.zdnet.com/Hinchcliffe
• ebizQ’s Next-Generation Enterprises
•
http://www.ebizq.net/blogs/enterprise
•• EVP of Strategy
http://dachisgroup.com
• mailto:dion.hinchcliffe@dachisgroup.com
• : @dhinchcliffe
® 2012 Dachis Group 2

3. Dachis Group
Social Business by Design
• Published May, 2012
• From John Wiley & Sons
• The definitive management
strategy guide and handbook
on social business.
• Based on real-world
experience.
• The most complete and
business-focused statement
on what social business is
and why it’s strategically
vital.
• Recently #1 in Amazon’s Hot
New Releases
• Companion Web site at
http://socialbusinessbydesign.com
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved. 3

4. Dachis Group
State of the Art in Social Business
• Efforts are more strategic and Strategic Business
growing faster than ever before Communities
• Virtually all data continue to show sustained
real-world benefits (McKinsey, IBM, Frost and Sullivan, AIIM)
• Everything is becoming social: Social features are
appearing in virtually all new user experiences
• There continues to be considerable confusion about
who “owns” social in the organization
• The predicted social data explosion: It happened
• Mining insight from social data has now become a
major industry (#bigdata, #analytics)
• The blur between internal and external social
business has not progressed as far as many thought
• The first serious talk about open social business
standards has begun
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5. Dachis Group
Other Key Social Business Trends for 2012
social analytics and BI
better integrated social
business processes more budget
enterprise-level organization Social Business move to mobile
for social business
internal
external
blurring begins but social apps
does not widely occur
community management
becomes strategic
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved.
5

6. Dachis Group
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved.

7. Dachis Group
30K
Enterprise 2.0 Story
25K
Go/No Go
Stand-Alone Decision for
Solution Global Launch 20K
Acquired Owners
Board Member
Sponsor
15K
Concept Pilot Launch
10K
connect.BASF
First Conceived by Expert 5K
Internal Think Tank Interdisciplinary Communities &
Team Advocates Launch User
Involvement Communication Base
2007 2008 2009 2010 2011
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved.

8. Looking at the data
® 2012 Dachis Group 13

9. Dachis Group
Types of Business Gains Possible with Enterprise Social Media
Self-Reported Average Industry Improvements From Large Organizations
25-30% faster access to expertise
10-20% reduction in 30% faster customer
travel and Increased Productivity Revenue Creation
care processes
communication costs
Overcoming Shorter
distance and external
time zone support
10-15% reduction in barriers to cycles
collaboration 18% higher customer
communication costs
satisfaction
10% decrease in
Self- Faster 10% higher customer
operational costs service Increased
content
location of customer loyalty
experts satisfaction
sharing
More Better & retention
rapid new business
hire ramp- decisions
up
Improved
connections
Less time between
spent departments 15% increase in
20-30% increase in looking for and internal Improved
information teams global sales successful innovations
access to expertise processes
& ideas
30% increase in 10% increased revenue
Cost Reduction Connected Culture
speed of access to
knowledge 35% increase in collaboration
20% lower communication costs
Source: Synthesis of McKinsey, Dachis Group, and other social business benefits data.
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved. 14

10. Dachis Group
Fully social organizations get outsized benefits
Source: 2011 McKinsey Web 2.0 Survey
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11. Dachis Group
The Lesson: Social business is...
part of a single continuum...
one unified ecosystem
Social
Busine
enterp
rise ec s
osyste
s
m
rnet
t
ane
Inte
customers + extr
world
t
ane
business partners
intr
Social integr
ated
Innovation Crowdsourcing vision
workers
Social Marketing Social CRM
Customer Communities Enterprise 2.0
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12. Social isn’t happening in a vacuum
• Major forces of change co-exist
• Many of these significantly impact social
® 2012 Dachis Group 17

13. Dachis Group
The good news: Technology and productivity
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14. Dachis Group
But is this coming from technology investments?
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15. Dachis Group
Who is currently leading innovation?
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16. Dachis Group
Yet 60% of CIOs believe they should be driving
growth and productivity.
Source: Deloitte Survey, 2011
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17. Dachis Group
But technology change is happening faster
today than ever before
• A tsunami of new mobile devices and technologies
• A pervasive wave of social media
• The rumbles of cloud computing and SaaS
• The shift to DIY
• A flood of Big Data
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved. 22

18. Dachis Group
A perfect storm of change
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19. Dachis Group
Happening almost all at once
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20. Dachis Group
Key data point #1: Mobile
• Smart mobile devices
outshipped PCs in early 2011
• Tablets are expected to on par
with PCs by 2015
• Smart mobility strategies
(particularly the iPad) have now
become a top priority of most
Fortune 500 CIOs
• Global mobile data going
geometric is going to be the
largest challenge to growth and
use
• App stores are creating all new
conduits between IT suppliers
and workers
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21. Dachis Group
Mobile Internet Ramping Up Faster Than
Desktop Internet by 5x
Source: Mary Meeker, Morgan Stanley
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved.

22. Dachis Group
Key data point #2
The Adoption Rates of E-mail, Social Networks, and E2.0
• Social is now the
dominant form of 1B
Internet 100%
communication on projected
the planet 750M 75%
Enterprises
Global Users
Percent of
• Enterprises are 2-4 imate
years behind the high est
50%
rest of the world. 500M
low estimat
e
• Yet data shows 25%
that revenue of 250M
social businesses
2006 2007 2008 2009 2010 2011
is 24% higher on
average. Consumer
Social E-mail Enterprise 2.0
Profitability is Networks
better too. Sources: comScore, Hitwise, and The Radicati Group, Forrester, APC, Intellicom, Neilsen
Norman Group, Social Business Council, NetStrategy/JMC
- Source: McKinsey
and Frost & Sullivan
(cc) 2012 Dachis Group. Creative Commons. Some Rights Reserved. 27

23. Dachis Group
Social + data analytics = business intelligence
(cc) 2011 Dachis Group. Creative Commons. Some Rights Reserved.

24. Dachis Group
What a social business ecosystem looks like
• Complete view of internal
and external social media
• Analytics and visualization
of vital trends and events
• Automated evaluation and
prioritization of strategy &
policy issues Big
• Operational pipeline
Data Listen &
Analyze • Business objectives
• Social business
“rules of the road”
• Social media policy
Social Innovation • Structural and
process reforms
Social Marketing
Guide
Strategy • Transformational
Social CRM roadmap
and
Social Workforce Policy
Crowdsourcing
The World
Social
Business
• Manage, support, and Community
cultivate the participative
aspects of social media-
Management Engage
based business solutions,
both internal and external
• Interact with customers,
business partners, and
workers to help and guide
Feedback Loop
them towards useful and virtuous cycle
business outcomes
(cc) 2011 Dachis Group. Creative Commons. Some Rights Reserved.

25. Dachis Group
Examples: FoldIt,
YouTube, MTurk
Tenet #1: Anyone can participate.
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26. Dachis Group
Examples: Open source,
Intuit, SAP
Tenet #2: Create shared value by default.
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27. Dachis Group
Examples: reCAPTCHA,
Chevy Apprentice, MSDN
Tenet #3: While participation is self-
organizing, the focus is on business
outcomes.
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28. Dachis Group
Examples: Crash The
Superbowl, HBO True
Blood Large Scale Social
Experience
Tenet #4: Enlist a large enough community
to derive the desired result.
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29. Dachis Group
Examples: MEC,
Threadless, Toyota Brake
Crises
Tenet #5: Engage the right community for
the business purpose.
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30. Dachis Group
Turnaround possible when correct community
identified
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31. Dachis Group
Key Success Factors
• Everyone must be able to participate
• Turn on network effects by default
• Cultivate the right communities
• Plan for change and the unexpected
• Remove barriers to participation
• Listen, analyze, and engage continuously
• Integrate social into the flow of work
(cc) 2011 Dachis Group. Creative Commons. Some Rights Reserved.

32. May 2012
Thank you