Corporate cultures and social strategy development forslideshare

PJ GuinanBabson College

Corporate Cultures and Social Media Strategy Development

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BABSON COLLEGE — ALL RIGHTS RESERVED

What’s all the excitement about? The Social Media Revolution

http://www.youtube.com/watch?v=3SuNx0UrnEo


Background and Methodology

Objective :Understand, identify, and prepare for distinct social media strategies

and cultures

Methodology: Cross industry, in-depth interviews with 70+ practitioners at 50 B2B and B2C companies. (~25% earn $5 Billion+ )

Findings and frameworks are still a work in progress. We are now pressure testing with experts and interested executives.




Corporate Attitudes Reveal Different Cultures

Small Scale Function(internal or external) Enterprise -Wide

“Social Champions”

Design for predictable enhancements to existing systems, communications, or organization-wide processes

“Social Transformers”

Design to continuously learn from the unexpected across the business to innovate strategy, decision-making, operations, products

“Predictive Practitioners”

Design for predictable outcomes: incremental improvement to existing practices with limited resources

“Creative Experimenters”

Design to learn from the unexpected in discreet areas of the business to innovate practices or customer models

- Tolerance for uncertainty +

Under Review at Harvard Business Review – Do Not Circulate



Predictive Practitioners

Clorox as Predictive Practitioner• “With 16 brands and just 500 R&D employees, continuous

pressure to improve existing offerings…..we must create and maintain a pipeline.”

• Clorox Connects- internal as well as external virtual brainstorming with guided online conversations.

• Clorox Connects incorporates Gaming Mechanics – Earn points by posting questions, adding and rating comments– “Keeps people in line to do what we want them to do.” – Sharpest participants rise above and gain visibility.– Contributors can lose points when network users rate

comments as off target• Clorox uses virtual “recognition badges” and leaderboards. Since

doing this, significant and measurable improvements in web metrics.

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Strategic Framework for Predictive Practitioner

Strategic Approach: Focus on discreet business problems in targeted ways.

Organization: Manager or small group of practitioners lead effort

Metrics used: Existing metrics such as:

– Additional sales through Twitter discounts

– Cost-cutting by reducing storage/email attachments


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Predictive Practitioner: Strategic Constraints & Opportunities

Opportunities• Demonstrate the value of social media in a concrete way .• Demonstrated business impact can lead to larger, more innovative future projects. • Speed to sale, cost savings.• Demonstrates the value of social media to complement traditional multi-channel

approach, low-cost switch after budgets have been cut.

Limitations• Reactive “Me too” syndrome. You don’t know what you’re doing but everyone else is

doing it.• Less experimentation and innovation to moderate risk.• Projects are incremental to current activities.• All projects must be measurable and contained within a relatively short period of

time (ie., 12 month) (So no brand enhancement or long term brand development applications for social media).


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Social Media Corporate Cultures







Design for predictable outcomes: incremental improvement to existing practices



- Degree of Uncertainty +

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Ford as Social Champion• The Fiesta Movement :• The basic idea was to loan out 100 Fiestas for 6 months under the condition that drivers

would use social media to talk about their experiences in an authentic way.• The drivers are called agents, they have a huge social media following:

– “Two applicants have more than 30,000 MySpace friends; six applicants are YouTube personalities with more than 20,000 subscribers; seven applicants are bloggers with more than 100,000 views per month.”

• “The agents- must be completely honest – that was the only way it (was) going to work“ according to Scott Monty, Ford’s Head of social Media.

• The result : – More than 60,000 discreet pieces of social media, – Millions of clicks on agent generated social media– 4.3 million YouTube views– 37% pre-launch brand awareness among Millennials– 50,000 sales leads to first-time Ford customers – 35,000 test rides.

Social Champion

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Strategic Framework for Social Champion

Strategic Approach: Tap social media as an integral piece of overall business strategy. The deployment does not change the established business processes or culture.

Roles: Evangelists/Agents, CEO, manager or small group of practitioners lead effort, digital ambassadors.

Metrics used:

– Use existing networks to identify and leverage influencers with greatest following (followers, friends, YouTube subscribers).

– Mix of traditional and social data as well as newand classic metrics

Social Champion

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Social Champion: Strategic Constraints and Opportunities

Opportunities• Transparency, legitimacy with the agent• Build authenticity• Low risk of failure re: market• Brand loyalty, reinvention• Reduce ad spend speculation, get out of the high spend wasteful

advertising game.

Limitations• Internal strife• Disconnect between top management and middle management• Which channel to use and when

Social Champion

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EMC Creative Experimenter• Adoption is initially viral, from a Board member: “I’ve read your

blog. I love it. How can we do more?” • “We were very clear that in two months we might unplug this and

try again…because we just didn’t know.”• Social media facilitates “free work”• “Global cultural awareness, green and sustainability, markets

around data warehousing, virtualization ….things the company has to get after, but as you look at the org chart, nobody’s in charge.”

• “In the 2.0 world, not only do you see the document, but you see the three people who created it and the nine people who commented on it…which is infinitely more valuable than the document itself.”

Creative Experimenter



Strategic Framework for Creative Experimenter

Strategic Approach: Act and experiment first, analyze and reflect later

Organization: Grass roots, bottom approach, individual leaders unconstrained by hierarchy

Metrics Used:

– Measure the rich, qualitative aspects/conversations, theme-based listening and analysis, and “measurement philosophies” rather than rigidly quantifiable metrics.




Creative Experimenter: Strategic Constraints and Opportunities

Opportunities• Learn quickly from mistakes and iterate• Take calculated risks which could create broad-application • Innovative solutions • Experimental groups report-out lessons learned

Limitations• Benefits limited to a specific project/product group (re-invent the wheel)• Unwilling to share with the enterprise for fear of organization rejection• Getting drawn into the “new” and “sexy” technology and could lose

objectivity




Cisco as Social Transformer• “The blog is our voice within our channel [partner] community; it’s a

way to communicate with and interact with our channel partners [using articles, voice recordings, and videos].”

• “The value proposition to our company is that we are creating awareness of our channel leadership, our programs, and our thought leaders. We are also using it as a listening platform to be able to gain feedback from our partners and customers to essentially provide influence on how we go about our day to day operations as well as our strategy.”

• Social media plays a key role in the decentralized decision-making strategy ( accelerating “time to trust”) with cameras as well as TelePresence

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Social Transformer



Strategic Framework for Social Transformer

Strategic Approach: Change the business to embrace social behavior to drive enterprise value.

Organization:

• Brokers to disseminate learnings across functions

• Cross-functional steering group to ensure awareness & compliance

• Leaders use social media to change traditional hierarchy

• Leaders use social media to re-enforce or transform company values involving collaboration and transparency

Metrics Used: Company-wide assessment of level of engagement(shared vision,/ brand understanding ), increased organization- wide productivity

Social Transformer



Social Transformers: Strategic Opportunities and Constraints

Opportunities• Re-energize the organization around a • phenomenon that everyone can be part of • To transform your culture into a more collaborative, flat,

open organization• Personalized and customized content to increase • employee productivity

Limitations• Lose focus on your over all business strategy

(ie., It is a social media strategy not a business strategy)• Ability to hire the right people to create the social culture

(align with H.R.)• Extensive resource requirements

Social Transformer

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