The Future of Social Inside the Enterprise

Thought Leader Perspective

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Dion Hinchcliffe Executive Vice President, Dachis Group @dhinchcliffe

Alan Lepofsky VP Principal Analyst, Constellation Research @alanlepo

Kuntal Vahalia Senior Director, Salesforce.com @kuntalvahalia

Karthik Chakkarapani, Senior Solution Architect, Salesforce.com @kchakkarpani

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Agenda: The Evolution of Social Business

  The Journey – What led us to where we are today?

  Today – From simply sharing to getting work done

  What’s Next – The future of social business

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Part 1: The Journey To Social Business

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Goal: To help people get their jobs done… … and help their organization be successful

People need to be able to: •  Create, discover and share information •  Find the colleagues/communities that can help them (and vice versa) •  Build strong relationships with external communities •  At any time from a variety of devices

Groupware? Collaboration? Social Software?

What's in a name? that

which we call a rose by any

other name would smell as sweet - Shakespeare

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Until now, most PC software was designed for individuals using individual PCs. But today, more and more people are working in teams on networked PCs that require a new kind of software. Software that lets them quickly share ideas and information no matter where, when or how they work.

Enter Lotus Notes.

The first software than actually thrives on the fact that people need to work together to be effective. Lotus Notes creates a new communications environment where users can develop applications - for sales tracking, project management, customer service, and free form discussions of all kinds - and routinely access and share this information from their desktop to anyone, anywhere in the world. In fact, no other software maximizes your investments in networked PCs like Lotus Notes.

After all, helping people work together is what Lotus does best. `

Social Software Is Not A New Idea

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How we got where we are today...

2006 2007 2008 2009 2010 2011 2012 2013

McAfee Coins “Enterprise 2.0”

Blogs, wikis, and online communities enter the workplace Most public

communication is now through social channels (July, 2009)

“Web 2.0” Peaks As A Term

Centralization: The Rise of Facebook and “big” social networks

The shake-out: Most large companies select a few large social suites

Majority of companies now tactically engage in social media (internal, external or both)

Rise of Social CRM

Rise of Social HR Critical mass of social business success stories is achieved (100+)

“Cambrian Explosion” of social enterprise vendors

1st notable wave of enterprise-wide social business transformations begin

1.0 era

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How?

New user experiences Mobile Access

Application Stores Analytics / Big Data Cloud / In-Memory Industry Standards

“Social” is connecting Business & People processes (CRM, HCM, etc.)

Work is more transparent Recognition/Reputation is built in

Moving beyond the org chart Internal groups

External communities

The Perfect Storm Has Brought Us To Where We Are

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Cost Reduction

Revenue Creation Increased Productivity

Connected Culture

Self-service content sharing

Shorter external support cycles

Increased customer satisfaction &

retention

Self-Reported Average Industry Improvements From Large Organizations

10-20% reduction in travel and communication costs!

10-15% reduction in !communication costs!

10% decrease in operational costs!

20-30% increase in access to expertise!

30% increase in speed of access to!

knowledge! 35% increase in collaboration!20% lower communication costs!

30% faster customer care processes!

18% higher customer satisfaction!10% higher customer!loyalty!

25-30% faster access to expertise!

15% increase in successful innovations & ideas!

10% increased revenue!

Source: Synthesis of McKinsey, Dachis Group, and other social business benefits data.

More rapid new hire ramp-up

Faster location of experts

Overcoming distance and

time zone barriers to

collaboration

Improved connections

between departments and internal

teams

Less time spent

looking for information

Improved global sales

processes

Better business decisions

What We’ve Learned: The Benefits of Social Business

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Source: 2011 McKinsey Web 2.0 Survey

How orgs will claim their share of the $1.3 Trillion Social Business Proposition

Fully social organizations get outsized benefits

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Part 2: Where We Are Today

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Social Business projects are more strategic

and growing faster than ever

before

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Virtually all data continue to show sustainedreal-world benefits (McKinsey, IBM, Frost and Sullivan, AIIM)

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Everything is becoming social!Social features are appearing in virtually all new user experiences

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The predicted social data explosion: It happened

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Social business moves into the C-Suite

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Burberry CEO Angela Ahrendts Explores Their Social Enterprise Vision With ���Salesforce CEO Marc Benioff at Dreamforce 2011

21% Increase

To The Bottom

Line Burberry’s Social Business Transformation

•  6,600+ Workers

•  10M+ Facebook Fans

•  15,000 Partners

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A Shift Is Taking Place

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From Simply Sharing, To Getting Work Done

SOCIAL BUSINESS Connected Enterprise

Sharing,  Transparency,  Discovery  

Ge4ng  Work  Done  Core  Business  Processes  

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Integrating Social Into Core Business Processes

Unstructured Structured

•  Status Updates

•  Sharing

• Q&A

•  Exception Handling

•  Expertise Location

Sales

Marketing

Engineering

Supply Chain

Human Resources

Support/ Service Learning

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Type 1: Stream Level Integration

HR

ERP

CRM

Can help information reach a broad audience

Enables discussion

Links or ideally embedded objects

Context is lost, as comments are not part of the system of record

Contributes to information overload

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Type 2: Embedded Experiences

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•  Cross-divisional •  Top-to-bottom •  Involves key areas •  Executives •  Subject matter experts •  HR & Legal •  Middle Management •  Workers •  Community Managers

We’ve learned what social business looks like

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And that a certain skill is essential for best results...

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Warning: Let’s Not Get Carried Away!

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So What’s Missing From The Current Solutions?

Social Business has provided organizations with many

benefits…

…but it has also created a new set of technological and cultural

challenges.

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Part 3: The Future Of Social Software

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Theme: Helping People Get Work Done

Collaborative Applications

Social Task Management Personal Workflow Automation

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Social Task Management

Constellation Research 2012 All Rights Reserved

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Salesforce Do.com

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Personal/Team Workflow Automation

If event then Take action

Sales

Marketing

Development

Connecting multiple services / websites together via a single rules engine.

Enable conversations around these event.

New lead is created then Broadcast into activity stream for everyone to discuss

New collateral is posted

then Post a link in the sales training group and schedule a webinar

New feature request

then Add a task to the team’s task management board

Take action Take action Take action(s)

Bus

ines

s us

e-ca

ses

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Collaborative (Micro) Applications

blogs wikis

forums communities

activity streams

Not just adding social to existing business process,

but creating new applications for:

Sales, Marketing HR, Engineering

Finance

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Social business is one unified ecosystem

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Reconciliation of existing transaction systems with engagement systems

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Smart Mobile

Social Media

1 billion smartphones (2012)

1.4 billion social media users (2012)

Converged “SoMo”

+ Location-based services + All apps mobile + All apps with social features + Disposal mobile social networks + Sensors, NFC + social = possibilities

Social + Mobile = Future of User Experience

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Theme: Turning Insights Into Action

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Decisions

Data

Data Data

Analytics / Big Data

•  Intelligent filtering •  Streams •  Search

•  Recommendations •  People •  Pages •  Communities

•  Sentiment Analysis •  Internal •  External

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Social + data analytics = business intelligence

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Does Your Organization Have A Data Scientist?

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Big data + social media = business value

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Gamification

Rank/Reputation: Leaderboards

Reward: Incentives

Route: Quests/Missions

today next

Behavioral Dynamics

Role: How people work

How people are connected

How people work together

Gamification

The R’s…

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Marketing: The Next Vertical For Social Business

2011 = SCRM 2012 = HCM 2013 = Marketing

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Big ROI: Engagement at scale

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Cost-effective scale: Strategic mobilization enterprise advocates

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...dealing with regulatory, legal, and other issues seamlessly!

Stronger foundations for social business...

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Enterprise-wide organization around social business

•  CMO? •  Corporate Communications? •  Human Resources? •  IT Dept?

Where then? •  Social Business Office •  “Triumvirate”

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A C-level role for social media

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This role will enable social across the entire business

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Social as an integrated part of digital strategy

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Conclusion

The future of social business is…..

Business!

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Dion Hinchcliffe

Executive Vice President Dachis Group @dhinchcliffe

Alan Lepofsky

VP and Principal Analyst Constellation Research

@alanlepo

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