How To Leverage The Power Of Feedback And The Law Of Participation | Enterprise 2.0 Summit In Frankfürt Nov. 09

How-to Leverage the Power of Feedback and the Law of Participation Julien Le Nestour @jnestour | coreedges.com Enterprise 2.0 Summit | Frankfürt - Nov 09

“The evidence is mounting that corporate prediction markets work as advertised, delivering quick, accurate, and decisive predictions in areas of great interest. So are there any good reasons left for not using them, or at least experimenting with them? I ask seriously: why would any enlightened company not avail itself of this technology?” —Andrew McAfee SOURCE: http://andrewmcafee.org/2009/07/mobs-rule/

“The evidence is mounting that corporate prediction markets work as advertised, delivering quick, accurate, and decisive predictions in areas of great interest. So are there any good reasons left for not using them, or at least experimenting with them? I ask seriously: why would any enlightened company not avail itself of this technology?” —Andrew McAfee SOURCE: http://andrewmcafee.org/2009/07/mobs-rule/

E2.0 tools: powering interactions

E2.0 tools: hyper-efficient as interaction enablers E2.0 tools: enable network (+ others) effects E2.0 tools: enable increasing returns to scale

E2.0 tools: powering interactions

Real Challenge:

How to achieve E2.0 tools:“Enterprise hyper-efficient Adoption”? as interaction enablers E2.0 tools: enable network (or combinatorial, etc.) effects End-users use them

➡ E2.0 tools: IT enable increasing returns of scale deploys them ➡ ➡ Executives support them

Real Challenge: “Enterprise Adoption”

matt knoth

1. Unbundling “employees”

From...

To... End-Users

Employee Decision Makers

IT Managers

2. Organizational Context

From generic employee concept...

“Employee” concept

Company A PHOTO: iStockPhoto

“Employee” concept

B

A

C

2. Organizational Context

From generic employee concept...

... to employee shaped by organizational context

Organizational Structure

Culture

Workflows

Power Structure

True “employee” concept

Individual position + Organizational Context

How much do they shape us?

“Street Corner Society”

—William Foot Whyte (1943)

scion_cho

“The Physical Effect on the Individual of the Idea of Death suggested by the Collectivity.” —Marcel Mauss (1926)

3. Smart, rational actors StakeHolders = Actors who:

➡ are their ultimate decision-makers ➡ have goals and enjoyable actions ➡ use all leverage possible to achieve these

Actors

➡ unbundle different types of employees ➡ actors’ perception, self-perception and goals are strongly shaped by organizational context ➡ actors are smart, rational, and make their own decisions

Adoption?

➡ Simple: when it satisfies own goals at an acceptable cost

➡ Explore all 3 actors using the concept of “Return on Attention”

Return on Attention

Michele Catania

ashley rose

EUSKALANATO

Perception

ashley rose

Cognition

EUSKALANATO

Optimizing attention through perception killthebird

Attention

Attention as a resource is becoming scarcer and scarcer...

Information & Stimuli

Attention

scarce = valuable Information & Stimuli

Attention

Key concept/tool: Return On Attention Information & Stimuli

ROA: end-user level

pchweat

Predictor of Value

➡ evaluated at the individual, end-user level ➡ optimizing the scarcest resource ➡ if ROA is good enough, will use tools

Defining ROA

➡ perceived return from a unit of time spent using an application ➡ Return = information, authority, etc. minus opportunity cost, monetary cost if any, etc.

Characteristics of ROA

➡ impacted by every “non-nil” factors ➡ as weak as the weakest link in the chain ➡ subjective and situated

Criteria Examples

➡ Application Usability ➡ Training required? ➡ RSS feeds/alerts? ➡ Mobile Interface? ➡ Hardware limitations?

➡ Priority versus other activities? ➡ Need to change established workflows? ➡ Perception from common organizational culture?

ROA as predictor of adoption

➡ At individual level, but dependent on organizational context (can emphasize dumbness) ➡ Understand finely anticipated ROA at individual level ➡ If ROA>0 absolutely and relatively to other activities/applications ➡ Predictor of value, hence of adoption

ROA: IT level

ansel mcadams

ROA as IT metric

➡ Use ROA as an aggregated set of criteria: ➡ Properties of application ➡ How these properties weave together with the corporate fabric ➡ ROA: aggregates all the single trade-offs each application incorporates ➡ From features to ROA for application comparison ➡ Now, what is the impact of a tool?

ROA as component

ROA

ROA as component

X ROA

Population Subset

Ex. of criteria for Typology Criteria

Definition

Corporate Specificity

Applications or Activities are unique to company?

Transformational, Transactional, Tacit

Nature of Work

Knowledge Manipulation / Decision-Making

Nature of Knowledge Work

Drucker’s executive scale

“Every knowledge worker in a modern organization is an “executive” if, by virtue of his position or knowledge, he is responsible for a contribution that materially affects the capacity of the organization to perform and to obtain results.”

SOURCE: McKinsey Quarterly; The Effective Executive - Peter Drucker

ROA as component

X

X ROA

Population Subset

$$$ Relative Value per positions

ROA as component

X

X ROA

Population Subset

$$$ Relative Value per positions

X

! Frequency of activity, weighted by criticality

ROA as component

X

X ROA

Population Subset

$$$ Relative Value per positions

X

! Frequency of activity, weighted by criticality

Weighted ROA = anticipated effect on Business KPI

Weighted ROA: portfolio management

➡ Weighted ROA enables comparison between different IT projects: automation, CRM, social enterprise computing ➡ Enables IT Portfolio management to both invest and arbitrate between projects

How should IT use ROA?

➡ Develop expertise in anticipating ROA for different types of positions ➡ Develop expertise in approximating weighted ROA ➡ Improve ROA of existing applications/processes ➡ Number of strategies: consumer apps, internal SAAS, etc. ➡ Manage portfolio agnostically with ROA as key metric (NOT ROI)

Indeed...

ROA: Executive level

Paolo Màrgari

Interest of weighted ROA for executives

➡ Make concrete what hitherto unknown ➡ Incorporate and mitigate the risks (decisionmaking) ➡ Fully participate in IT decision-making

ROA: congruence tools + organization

➡ Understand ROA comes from congruence of tools and organizational context ➡ ROA is situated: Focus on bounded use cases, processes of high value: prioritization

Re-engineer organization

➡ Re-engineer organization to extract full value from E2.0 technologies ➡ Institutional Innovation ➡ Redefine business metrics, based on new organizational modes and tools ➡ In parallel with E2.0 technologies introduction

Ex.: Supplier Prediction Market

➡ Emile Servan-Schreiber (Newsfuture) ➡ Ex. of Boeing dreamliner ➡ PMs threaten established internal org ➡ PMs threaten supplier-customer relationship ➡ Institutional innovation: PM run by neutral 3rdparty, confidentially at supplier, with aggregate results and metrics provided to customer (ex. delay of more than 6 months)

How-to Leverage the Power of Feedback and the Law of Participation? ➡ Depends on each organization ➡ Need to take a holistic view: quality of technology, but mainly organizational context ➡ Patterns exist: E2.0 industry is not making it simple to identify and use them ➡ Consultants: also look outside of E2.0 world, towards incredible companies, to look for innovative organizational context, not tools

Thank You @jnestour | coreedges.com