Historically, the trouble I’ve always had with social media was the precision deficit surrounding the interpretation of its influence.  It always seemed to me that if you could get, say, Chris Brogan to talk about anything, you were successful with social media.  Okay, maybe that’s an exaggeration, and social media has really never been my area of expertise in the spectrum of all social business.  Readers of this blog know I focus more on the internal enterprise side of social business.  Because, well, it is more rational maybe?  See my coverage of my first SXSW Interactive.

BUT…

Before I got back into the technology sector in the 90s, I spent a solid few years in the Advertising business.  And not digital or online advertising (it didn’t exist yet). In the real Advertising (TV/Broadcast/Print) world. (With a capital A.)  Think of it as Mad Men for Yuppies (late 80s).  I entered the ad world as an Account Executive on the IBM account. The agency I joined, LGFE, was a boutique outfit, a part of JWT.  We had 100% of the IBM business.  In 1980 dollars, we had a $160M annual media budget for IBM and it comprised the lion’s share of the agency’s billings.  The agency was best known for two things: 1. its launch of the IBM PC and 2. its famous Executive “breakaway” which literally made Advertising history.  But those are great stories for another day.  Like most LGFE employees after the breakaway, I skedaddled my way down Madison Avenue to a new position with Ogilvy & Mather where I helped teach our Creatives about the Unix operating system.  Again, great stories for another day, another blog.  I just wanted to establish a little Mad Street Cred before I get to the heart of this post.

When I think about the burgeoning world of social media, I compare its trends and “findings” with what we were doing 30 years ago in Advertising. Even back then, for all the hoopla, big expense accounts, private limos, and 5-star hotels, Advertising was pretty serious stuff.  It was all about the numbers. (We all thanked the technology gods for Lotus 1-2-3.)  Campaigns that strove to cultivate an emotional connection to a brand were paid for by executives who wanted to see stone cold returns on their investment.  And, I’m going way out on a limb here, after 30 years I’m pretty sure that hasn’t changed.  In fact, the pressure to deliver results from media spend is probably more fierce than ever considering the fracturing of a traditional media landscape that was fairly easy to manipulate in the old days before the Internet and mobile technology.

So fast forward to 2011. No, 2010.  Erik Huddleston joined Dachis Group as CTO. When Erik first arrived, I wasn’t sure what he was going to do.  Get our wifi working in the office or something.  But, the next thing I knew, Erik was presenting at Defrag, whaaa? and young men in black tee shirts that said, “Hadoop” started skulking around the office.   I finally got briefed on what this little dream team was working on buried away in remote locations around the world, and I was kinda blown away.

A beginning step in that effort is announced today for public consumption.  Erik’s team has built a platform that crunches hundreds of millions of data points in near real time to deliver a view on how social a given company is –  how they compare to their industry, their competitors – broken down as best in class by company, subsidiary, geography, department and brand. Culling from APIs, data buys, data partnerships, page scrapes, crowd-sourced data, company contributions, and our own internal data team, we now offer the Social Business Index (SBI) to anyone who wants to get a view into how your company’s brand is performing on the social web.  Over 100 leading companies participated in the early access program to get the data refined and help develop useful insights for its use.  The SBI offers insights for 26,000 brands from over 20,000 companies by analyzing over 100 million social accounts world wide, and hundreds of millions of other sources.

Again, the SBI is simply a lightweight lens on a massive platform that is compiling ground-breaking social data analytics and analysis.  The SBI is free for the companies covered and anyone can sign up to see how your brand is doing at www.socialbusinessindex.com.

This first effort is just a taste of what is coming.  Big data will yield something that has been inconveniently missing in marketing on a large scale: evidence-based marketing with business outcomes correlated to measurable metrics. Internet marketers have done a great job with what’s known as performance marketing, but with the advent of big data, marketing spend can be targeted with much greater precision and brands can engage meaningfully in near real time. In fact, interactive advertising has finally matched broadcast TV spend.  Forrester recently reported that, “By 2016, advertisers will spend $77 billion on interactive marketing – as much as they do on television today.”

About this time last month, I was undergoing a crisis of faith.  Faith in what brought me to this space: the promise of what the next generation web could be and could do to change business as we know it, as well as society at large.   My faith was shaken by a few ripples in the foundation.  I posted this short blog post on our Council Jive site:

I got some great feedback from members, but remained somewhat in a state of insecurity.  Things exacerbated when later in the month, a host of conversations had cropped up in the blogosphere on the failure some individuals were experiencing regarding adoption of social technologies inside large enterprises and critics taking delight in the “I toldya so” grand opportunity.

As the summer of 2011 was coming to an end, I found myself wondering whether I was the only one pursuing some greater purpose? Had I been completely delusional?  Blindly naive?

My crisis of faith ended on the morning of August 31, 2011.  

Mark Benioff, Salesforce.com CEO, whom I’ve been heralding as the voice of the new Enterprise generation since I saw him speak last year, killed it in his opening keynote for Dreamforce 2011 with the messaging I (and many others) have been consistently preaching for the past five years.   And, considering Salesforce’s Dreamforce is now the largest technology conference in the world, the social baptism that every one of those 45,000 in attendance and many more who were tuning in around the world received was epic.

So, with grace and humility, I have been re-energized.  You kinda either get this or you don’t.  If you do get it, I hope you’re rejoicing. I know I am.  If you don’t get it, don’t worry, it will benefit you too despite your willingness to embrace it.

If you are a believer, or just socially curious, I highly recommend you watch Benioff’s keynote.

Finally, Mr. Benioff, if you’re listening, all I can say is Thank You from the bottom of my bottomless heart.

Indeed, a Quiet Riot is percolating in the heretofore boring ERP sector.  I spotted Josh Greenbaum‘s post on “Enterprise Relationship Planning” this afternoon.  In the Council, we have dredged up a 90s label– The Extended Enterprise– to categorize discussions about how our members are architecting their socio-collaborative initiatives to span partners in their supplier, distributor, and delivery chains.  Included here is the massive momentum around Social CRM that is touching the customer in personal ways as well and reinventing what it means to be proactive and responsive to existing and potential buyers.  One of our largest members recently  made a platform selection choice based nearly exclusively on the chosen vendor’s ability to bridge to external collaborators while retaining the ability to keep the conversation secure behind the firewall.  All of our members are somewhere in the adoption phase of evaluating these options.  The confluence of all SaaS and enterprise legacy systems and social is coming… It’s not if, it’s when.

The unique thread that links the revitalization of  all these mechanical, cumbersome, process-driven software “systems” is people.  People with intelligence, with tacit knowledge, with “exceptions” expertise.  We had a fantastic Council guru Q&A last week with Socialtext’s Ross Mayfield.  Socialtext cites a whopping statistic that turns traditional ERP on its head, “An estimated 60 to 80% of an organization’s work is ‘exception’ oriented.”  Squeezing the life (variability) out of a process is passe and will be replaced or supplementing with social data to improve its effectiveness, not detract from it.  This is a revolutionary idea.

This sentiment is expressed by one of our members, Todd Weidman,  who was discussing the rigidity of the Six Sigma process:

“In my experience in financial services, it’s used as a framework to eliminate as much process variation as possible. The processes become repeatable, follow a strict pattern, and ideally you reduce the cost of any transaction (and make it predictable, standard, and outsourcable). That’s fine if your building something to spec (manufacturing), but in any service-based industry, client needs demand many different types of solutions – think financial planning – there may be a number of different inputs for a customized solution. That, of course, requires collaboration between participants.”

Indeed, the future is about relationships.  And relationships are about people, not stuff.

The 2.0 Adoption Council is experimenting with a range of new market ideas that leverage the power of the social web.   The 2.0 thinking surrounding network effects, scale, voluntary collaboration, free (as a business model), and social performance/productivity improvements are just a sample of some of the drivers that have made the Council thrive.  Much of these attributes are present in a new concept described recently by John Hagel and John Seely Brown as, “The Collaboration Curve.” Specifically the authors point out, “The more participants–and interactions between those participants–you add to a carefully designed and nurtured environment, the more the rate of performance improvement goes up.”  Hagel also describes on his Edge Perspectives blog the move away from a transaction-based economy to a trust-based relationship economy.   He refers to as this as a “passionate community.”  His words:

In sharp contrast, passion holds the key to creating and shaping relationships that will help us thrive in a rapidly changing world. It motivates even the shyest of us to reach out and connect with others in ways that become catalysts for creativity and growth. Passion fosters a uniquely strong and productive bond that provides both the stability and stimulus needed to continue to grow and succeed in a constantly changing world.

What Hagel is describing is present in the Council today.  Simply look no further than the comments from the members themselves on my LinkedIn profile and our testimonials.  With this passion, comes business opportunity.  The combined intelligence of our early adopter 2.0 membership has become a no-brainer target for vendors interested in harvesting the group wisdom of these world class customers.   To that end, we are proud to announce today we have entered into an innovative co-creation research relationship with SAP.  SAP announced its 12Sprints public beta today.  It’s important to note that 12Sprints is not typical social/collaboration software, but rather a a SaaS-based, goal-oriented, collaborative decision-making tool that incorporates social features such as activity streams, presence, and profile data.  The objective for 12Sprints is to draw enterprise data into a conversation where it can be discussed, analyzed, and openly decided upon by geographically dispersed team members.

Although I’ve often been critical of SAP in the 2.0 arena, I’ve always marveled at the “engine” that drives global business on the SAP platform.  This first step toward bridging that gap between the core business processes that make the trains run on time and a front-end of 2.0 capability (including integration with various  popular 2.0 tools) is a welcome advancement in the maturation of the market.   Further, it’s particularly encouraging that SAP would choose the Council to partner on the co-development of this strategic new direction for its blue chip customer base.  It represents an unmistakable endorsement and recognition for our business model, the power of our membership, and the promise of innovative alliances to reshape how products get to market.

Below is a Skypecast I did informally last week with SAP SVP Marge Breya that discusses trends in 2.0 adoption and the nature of our relationship.

SAP’s Marge Breya discusses e20 with Susan Scrupski (aka ITSinsider) from susan scrupski on Vimeo.

First post in a series of great products that will help jumpstart the economy.

I had a great interview and demo yesterday with someone I admire in the blogosphere, fellow EI Bob Warfield. More than a few times this year, I’ve checked out his stealthy, yet healthy company: HelpStream. What the world needs now is not Love, Sweet, Love or Skittles, it’s products that help create profitable relationships and foster customer loyalty. HelpStream is one of a number of fantastic tools in the market that can help an enterprise improve their customer experience while improving their balance sheet.

With impressive ROI analytics and a gorgeous, easy to use UI, HelpStream goes far to give customers solutions with a minimum of effort and offers companies the means to engage customers on their own terms relying on a searchable knowledge base and self-supporting Web community. Particularly suited for web savvy and web-centric companies, HelpStream brings a social advantage to customer engagement. Further, tight integration to Oracle CRM and Salesforce enables (from the site) “customers and service representatives to search solution articles, post and answer questions, participate in group discussions, engage in idea brainstorming, utilize Interactive Checklists (step-by-step instructions), and instantly transition between unassisted and service rep-assisted processes at any time. In addition, customer service representatives using the pre-integrated solution access all of this information from within the Oracle CRM On Demand or Salesforce system.” What’s most impressive to me is Bob can demonstrate a ROI for HelpStream in months, not years. Ask him to show you the chart.

We got to talking about how there is a lack of awareness outside of the echo chamber regarding the power of communities and socio-collaboration. He said he hears the comment, “I had no idea that was even possible” all the time. There are areas within enterprise that should be moving quickly to embrace social leverage. One of the most obvious to me is customer experience/customer satisfaction. There is simply no better way to treat your customers well and demonstrate the value of democratic leadership and innovation than engaging them in a meaningful, responsive community that is open to ideas and criticism.

UPDATE 3/6:  CRM guru Paul Greenberg validated my opinion on HelpStream.  Excellent analysis of CRM 2.0 on Paul’s blog.

I try carefully not to post too much about nGenera on this blog, as its focus is centered more generically on trends in Enterprise 2.0. It occurred to me as we’re pulling together the Office 2.0 agenda, that the nGenera story is one which hopeful SaaS enthusiasts can look to for guidance and real world benchmarking.

nGenera is 100% SaaS. The company was designed to deliver on the promise of “on demand” computing. With well over 300 employees now on three continents, we manage all our operations on a SaaS basis. The image to the left sits on our internal collaboration hub where all employees have one-click access to all the SaaS applications that run our company. Intacct, in fact, just issued a press release featuring our use of its Intacct Plus offering. We also use SaaS apps for collaboration, all our talent management (hiring, compensation, payroll, learning) and research projects.

We’ve done a good job integrating Salesforce.com, Intacct, and Open Air so our execs can make “on demand” decisions will real data. After only a year or so, with a run-rate close to $100M and profitability on the horizon*, we’re probably one of the better case studies out there for SaaS-as-a-Successstory.

So while some may declare the SaaS model bankrupt, as Lawson’s CEO recently did in this interview, we’ll continue to run our business on demand, and offer SaaS-based solutions to our customers. Our CEO is somewhat passionate on this topic and spoke recently at the AlwaysOn Summit at Stanford. You can watch the video here.

*“But nGenera has made a great deal of progress in a short period of time, has a great customer base to leverage and grow, and top notch senior management and investors to guide it. We believe that the company’s journey thus far has netted it a revenue run-rate approaching $100 million and could be cash flow positive by year end as the Talisma integration is completed.” (source: JMK Securities, July 2008.)

Jive Clearspace has begun an open community where e2.0 fans, friends, and enemies (that means you Tom Davenport ) can have an opportunity to share war stories, successes, and get questions answered. The community site is called ClearStep. Of course, you can always share your opinions on our nGenera site, as well. Oliver Marks tipped me off to this site too by Imaginatik which appears to be powered by Ning, but there are some great wikinomics-style case studies and discussion threads there you might want to participate in.

Second, I’ve been meaning to blog about this for awhile. Nick Barker has created a one-stop shop for aggregating all current goings-on and content related to Enterprise 2.0 at his Enterprise 2.0 Portal site. The site is free and should be on everyone’s feed reader. Make sure you check it out.

And, in case you missed it, the venerable consulting institution, McKinsey & Co. published its global survey results for “Building the Web 2.0 Enterprise.” It’s also free, but you have to give them your contact info.

Finally, Niall Cook who founded one of my favorite products, Cogenz, (in his spare time) released his new book, “Enterprise 2.0: How Social Software will change the future of work.” I have not read it yet, but I’m certain it’s another must-have for your e2.0 bookshelf– IF you have a liberal expense account. It’s a little pricey at $89.95. I asked Niall about the price, he said it’s because the publisher sells mainly to an institutional and academic market. I’m hoping for a review copy, or will have to wait for the eBook or paperback version. Or maybe I can get a discount because Don Tapscott wrote the forward? (Humm… just realized we need to update Don’s profile on Wikipedia to reflect nGenera. Damn these Internets, always need to be current!). Actually, Niall may have taken a page out of the Wikinomics playbook, because it appears you can co-create with the community to add more content on each of the book’s chapters with this wiki hosted by Socialtext. He’s also blogging on the major themes of the book here.

What is not to love about Mashup Camp? This is my first unconference event, and I am an easy convert. It defines the free-form, emergent foundation of enterprise 2.0 in that it is completely user (developer) driven. No formal speakers, no imposed structure. What’s interesting is that developers mix easily with vendors and sponsors because from what I’ve seen they’re all intellectually curious and are asking a lot of the same questions. I don’t see a lot of marketing and selling going on here.

The day starts by mapping out a series of sessions the camp wants to discuss with peers. Developers get to pick time slots first, then sponsors, then other vendors.

Next, each session is posted on a large, paper schedule that is transfered by David Berlind onto a wiki that everyone can access and annotate with session notes all day long.

Then, everyone self-assembles and visits sessions that interests them. There was a lunch a break (day one), and the favorite part of the day for me was “speed-geeking” which consisted of 5-minute demos of about maybe 2 dozen mashups located at tables in the grand hall at the computer museum. Each participant had five minutes to explain his or her mashup, show its main features, and answer questions.

All the mashups were impressive, but I know I and Jeff Nolan were particularly impressed with the Plaxo mashup demo. Straight from the press release, the 3.0 version:

“has a content sharing feeds system, which several networks are leveraging, especially after the combined success of Facebook apps with its newsfeeds feature. Individual feeds for Plaxo users will initially include those for Flickr photos, blogposts, Amazon wish lists and Plaxo contact info modifications.”

I videotaped the demo here for you to see for yourself. I apologize, but the “night vision” option was accidentally selected on the camera I shot it with. Grrr… Still viewable, though. This is Joseph Smarr, Architect for Plaxo, demoing Plaxo’s new 3.0 version.

Well, planning has begun for the 2nd annual Office 2.0 Conference. Yay! I’m pleased to announce that Ismael Ghalimi has nominated me (for BSG Alliance), Jevon McDonald, and Catherine Shinners to be the lucky volunteer team who will put together the Enterprise 2.0 track for the conference.

If you can only make one conference for enterprise 2.0 next fall, make this one. The conference will again be held at the St. Regis in San Francisco. Ismael has booked a lot more space in the hotel this time, so there will plenty of room for networking and visiting panels and demos. The conference web site should go up tomorrow at this link as early as tomorrow. Keep checking for it. Oh, you might want to sign up early too. The conference was a huge success last year, and Ismael is intent on keeping it small, so it may sell out. There is also a Facebook event and group for Office 2.0.

The format for the conference will change somewhat this year. There will still be killer demos, jaw-dropping celebs, and investors from the 2.0 insider crowd, but the focus this year will be on customers and real adoption of Office 2.0 tools and technologies.

Regarding enterprise 2.0 specifically, we are interested in showcasing user case studies. If you have a particular user case study you’d like to share with us, please let us know as soon as possible. Frame your pitches in terms of business benefits, or possibly, social benefits that led or will lead to increased business benefits. We’re also interested in security, privacy, governance issues– typical IT issues and how they’re impacting enterprise 2.0 adoption. The stories don’t all have to be positive; if something didn’t work, and we can learn from it, we want to hear that too.

Send any questions or interest in participating on the enterprise 2.0 track to me, Jevon, or Catherine directly. My email address is susan at bsgalliance dot com.

Photo courtesy of Brian Solis.

I fear poor, fellow Enterprise Irregular Dennis Howlett has been bitten by the startup bug. After taking the product for a test drive– I completely understand! FreeAgent is an online record-keeping, invoicing, banking, project management, tax liability keeping, time management, AND community-based, knowledge-sharing resource for freelancers, contractors, and independent contractors. (I probably missed a few dozen other features.) I was originally delighted by the pleasing user interface and easy to navigate design of the application and site. But what really impressed me is the depth of the product resources.

Having been an independent consultant many more years than I have been an employee, this product is a consultant’s dream! I’m not sure what the long term plans are for the product, but with some minor modifications, I could easily see this product morphing into a time-tracking powerhouse for large consulting firms or growing ones, such as ours.

For today, however, my only beef with the product– and it’s a good problem to have– is why UK-only? Us small fish –in the colonies out here– might be worthy of the privilege of such a fantastic product. Not only do we have local banks of origin outside of the UK, we typically serve global clients. I know my best client was based in Amsterdam when I was an independent consultant, and I had other international projects and clients. It would really have been handy to have a global platform where I could have been paid in Euros in a European bank. I can think of dozens of others of freelance friends of mine who were ex-pats living in Paris, London, Germany doing freelance writing and consulting gigs. My hope is FreeAgent will spread the love throughout the British Empire.

On a more serious note,

I remember snatching up Dan Pink’s, Free Agent Nation, when it first came out. The book resonated with me because I don’t typically fit in well with large companies and much prefer to fly solo, like so many of my writer, analyst, consultant, and researcher friends. But the worst bit, anyone will admit, about being an independent is the @#$%^ bookkeeping and paying the tax man. What’s interesting to me about FreeAgent and Dan Pink’s first book is how web 2.0 technology has created the platform to deliver on the promises of what Pink forecasted for the new frontier of work. But even if you’re a digital Bedouin who happens to work for a corporation, like some of the guys I work with, it’s clear to me that whether we can thank AJAX or Ruby or a larger zeitgeist virally propagating as we collaborate and share across boundaries and nations via the next generation Internet– so much of the baby got thrown out with the bathwater in the 1.0 dotcom bubble.

In Free Agent Nation, Dan Pink says, “The basic unit of this Free Agent Operating System– the 1s and 0s of the underlying code– is trust. Trust , as scholar Francis Fukuyama noted in a magnificent book of the same name, is essential not only to a just society– but also to a healthy economy.” Trust is the currency of web 2.0 and its business partner, enterprise 2.0. As the individual continues to supplant the organization in power and influence, I’m continually reminded of these early visionaries that set the stage for the freedom we’re seeing today on the web.