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Archive for Wisdom of Crowds

McKinsey – How Web 2.0 Usage Is Changing Over Time

by Jon Husband

McKinsey, a leading organizational consulting firm, has just released its most recent study regarding the usage of Web 2.0.

From a read of the announcement, it appears that collectively we are still on the path towards social computing becoming a fixture in the knowledge-based workplace … hardly a surprise.

I (and many others) have said here, and elsewhere, that the ubiquitous presence of the Web, the growing ease-of-use of tools and services, and the growing understanding of productivity in a networked era, are leading inexorably to a fundamental re-think of the way(s) knowledge work is carried out and the type(s) of organizational culture necessary to support that productivity.

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Across all categories, the use of Web 2.0 technologies by employees for internal purposes has increased from 53% in 2007 to 65% of respondents in 2009.

The largest components of growth have come from using Web 2.0 to develop new products / services internally, to manage internal knowledge and to reinforce the company culture via tools such as internal social networking applications.

The companies who have embedded these tools in their day-to-day activities and processes have seen the largest impact by improving communication across silos to reduce duplicate work and leverage experts in other areas.

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The report notes that enterprise use of Web 2.0 technologies to connect and interact with business partners and suppliers has slowed down or stagnated … again, not much of a surprise given the often transactional nature of those relationships and the fact that electronic connections between those parties have existed in one form or another for quite some time now.

The final statement of this most recent McKinsey report offers, in my opinion, some clear writing on a big wall … “expertise in the use of Web 2.0 technologies is becoming a required skill for all enterprises.

When will your organization adopt, or grow its capabilities and culture with respect to, collaboration platforms and Enterprise 2.0 expertise and dynamics ?

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The momentum we see in the growth of Web 2.0 technologies implies we will see higher penetration in 2010 for using these technologies for employees to collaborate and to facilitate interactions with customers.

To drive increased usage for managing interactions with suppliers and partners, companies will need to find ways use these technologies to augment the formal relationships between business entities and not substitute formal interactions with more ad hoc ones.

Nonetheless, it is clear that expertise in the use of Web 2.0 technologies is becoming a required skill for all enterprises.

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Crowdsourcing for Employee, Customer and Stakeholder Engagement

by Jon Husband
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About three months ago Beth Kanter wrote about the Crowdsourcing of Vision at the Smithsonian Museum. In a comment I suggested that crowdsourcing for visioning purposes was reminiscent of the use of OD (organizational development) principles and methods often found in large-scale organizational or system change initiatives.

Beth asked me to elaborate. This blog post is my response.

Let’s look at why and where crowdsourcing can be useful when organizations (private, public or not-for-profit) are facing important new or emerging issues.

Crowdsourcing – Collective Wisdom and Collective Intelligence

When considering crowdsourcing in the above context as a method for obtaining pertinent information and perspective from relatively large numbers of people, it is useful to differentiate between it and collective intelligence, a related concept.

Collective intelligence refers to the outcomes generated by pooling knowledge from diverse groups, using it to research and debate and then refining the resulting understanding into useful and actionable information.

Crowdsourcing collective wisdom refers to the aggregation of anonymously produced data from groups of independent, diverse and decentralized people (crowds). The information gathered is typically summarized into a collective judgment or perspective – the “wisdom” expressed by the crowd.

Crowdsourcing as a technique for gathering useful information stems from the concepts outlined in The Wisdom of Crowds, by James Surowiecki.  With a nod to the definitions above, the practice of crowdsourcing can be useful for tapping into the attitudes, opinions and beliefs of the “crowd” represented by an organization’s employees, customers and other stakeholders.

Many nuances and constraints have been applied to Surowiecki’s original ideas, and examples advanced wherein the ideas work more or less effectively. Whether you agree or disagree with the concept, there’s a fundamental attraction, and empirical evidence, to its utility.  A crowd made up of diverse people with as many perspectives as there are people can, when faced with a question, problem or idea, generate a coalescing of sense and thence a consensus.

Indeed, a number of processes for working with small or large groups stem from the same basic premise – organizational development, whole systems and socio-technical systems theory rest on significant input from a wide range of different actors. A crowd’s aggregated collective response to a question or challenge creates a perspective or a position. In Surowiecki’s terms this represents its collective wisdom.

Can Today’s Organizations Access The Collective Wisdom of Crowds?

The workforce and other stakeholders of any given organization is a form of crowd. An organization’s crowd is likely to be more homogenous than a general crowd, to be sure. In the context of crowdsourcing, this relative homogeneity becomes important. It provides boundaries or constraints that complexity theory tells us are useful for bringing focus to the reasons for and expected results from the crowdsourcing.

For quite a few years now there have been sustained clarion calls for the development of learning organizations, more responsive and flexible cultures and for changes to fundamental assumptions and models of effective leadership and management. Hundreds of thousands, if not millions, of dollars have been spent on visioning, strategic planning, culture change initiatives, coaching and more effective internal communications.

There are competency models galore, climate and culture surveys, and a wide range of other assessment, diagnostic and developmental tools and processes aimed at “harnessing the employees’ and the organization’s potential“.

However, the structure of most organizations is still clearly hierarchical and relies on learned command-and-control leadership and management techniques. Most leaders, executives and senior managers have been steeped in industrial-era management science assumptions. Their mental models began with these fundamental assumptions during their education and their first jobs. They have reached senior decision-making and leadership levels with the help of models that preceded today’s digital hyper-linked and networked environment with its wide, deep and rapid access to large numbers of people and vast amounts of information.

It is the rare “authentic” or natural leader that possesses or grows in him-or-herself the wisdom to bring humility, purpose, values, clarity and inclusive decision-making to creating  and leading a responsive, adaptable and effective organization.  Jim Collins codified these rare qualities in “Level Five Leadership“, a featured article in the Harvard Business Review’s Breakthrough Leadership issue.  If you want to harness collective intelligence of the organizational crowd, you must have humility and good listening skills.

From Today to Tomorrow

Enter social software .. blogs, Twitter, wikis and various widgets (like IM interfaces that help people connect, converse, swap ways of doing things and gather feedback from colleagues and customers). Using social software for purposeful activities tends to create gigantic, wide, always-coursing feedback loops that will not be stopped.

So .. in this new electronic networked environment, how can today’s leaders go about developing vision, values, and a range of other elements of strategy and tactics.

We know from pre-Web experience that there is indeed something tangible, observable and useful in the knowledge and intelligence contained in and offered up by crowds when faced with an issue. Four or five decades of organizational development and organization change theory, practice and results have shown us that.

Many of us have been paying attention to the evolution of the Web’s impact on our lives and work for some time now. We tend to believe that the adroit, open and sincere use of social software to tap into and listen to a given organization’s crowd can materially help leaders and managers evolve into people who do not rely on charisma, positional power, coercion or dishonest political manipulation. Acknowledging and seeking ways to use the crowdsourced wisdom typically requires humility, listening and servant leadership to face and embrace the responsibilty to lead and manage effectively.

An important caveat … in spite of much work by many organizations towards inclusive engagement, it only takes a little bit of perceived ambiguity, loss of perceived control, shifts in markets or constituents for control-oriented hierarchy to reassert itself very quickly.

Notwithstanding the apprehension of many of today’s more traditional or conservative leaders and managers, the possibilities of crowdsourcing useful vision and wisdom from employees, constituents and markets has been made much easier with the capabilities of today’s interconnected and interlinked Web. And, just as importantly, increasingly people want AND expect that their voices will be heard.

The job of a leader in today’s hyperlinked and transparent organizational world is to instantiate the crowd’s intelligence and / or wisdom with a clearly-stated and purposeful mission and objective, and then listen ! This is where social software and methods like crowdsourcing can shine.  They can and I believe will, eventually, replace or augment even the most sophisticated culture change initiative or surveys and diagnostics. 

It can help leaders and managers learn to really listen, and to respond in intelligent and mature ways to the conversations that carry the  collective wisdom of an organization’s ‘crowd’.

These days (and certainly tomorrow) it’s less and less about charisma, command and control, and more and more about listening to conversations and championing, catalyzing and coordinating the collective wisdom of any given organizational crowd.

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Twitter – The Infrastructure of Context-Driven Social Search, or Flash in the Pan ?

by Jon Husband

For the most part I have been ambivalent about Twitter for most of the past two years (I’ve used it on and off since November 2006).

I’ve read much of the pros and cons (not all) and understand why some people consider it the best thing since sliced bread, and why others consider it a massive time sink and / or an invitation to get bombarded by unwanted marketing activity.

What seems clear to me is that it can often function as an effective means for searching for pertinent information.  To my mind, Twitter replicates the experiences I have often had after blogging for some time … because of my social networks mainly focused on issues, and people who are paying attention to those same issues, there is a regular experience of  ”synchronicity”. When something is on my mind and I start searching for information, I mre often than not “stumble upon” it, almost as if by magic (why do you think the web service Stumble Upon came into being ?).

When we use Twitter, we make decisions about who we follow, and so I think we invoke a social-network-of-purpose-driven filter that we apply.  Yes, we can follow thousands of people, but by and large we interact most with those concentric rings of trust and connection closest to us.  Often, the innermost rings of connection and trust are people that we have already connected with (through blogging or or professional / interest-driven networks), or whom we are learning to trust and to whom we come to pay attention.  

This selection of people with whom we interact (the innermost concentric rings of connection) provide context like no algorithm can (I’d love to know what the FAST search experts think of that assertion on my part).  The people with whom we interact most frequently on Twitter are paying attention to the same or similar things (and different things) as are we, and we are reciprocating.  So, when you push a question out into the twittersphere, those who are paying attention to you or notice your tweeted question may well have something to offer you that may be directly or closely aligned with the search you are carrying out.  There is the “ambient intimacy of context” that comes into play.

Now for the “on the other hand” … there’s an awful  lot of noise to churn one’s way through to get to the signals.  I know that there are various efforts underway to enhance the relevance and pertinence of finding one’s way through the mass of content that’s in the daily twitterstream, but I suspect that there’s a long way to go yet for such efforts to take new Twitter-related capabilities beyond the purview of the early adopters.

I also think that as large masses of people take to the newest socially-connected-streams-of-content to engage in purposeful activities, rather than trying to drive or acquire attention for attention’s sake (or to make money), we will find that Twitter-like capabilities or Twitter clones will be built into most, if not all, social-network platforms and collaborative-work platforms.

I suspect that this emerging concentration of attention and time allocation onto purposeful activities is what is behind the thinking in this extract from a WebGuild piece by Daya Baran titled “Twitter Will Be Obsolete In A Year“.

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Twitter Will Be Obsolete In a Year

[ Snip ... ]

He says Twitter won’t be as important as some think. He points to Friendster and how it was surpassed by MySpace which in turn was surpassed by Facebook in a shorter time doing the same thing.

He says as with any internet “gold rush,” as soon as others demonstrate success, everyone moves in, and the “next big thing” is born.

“All I have to do is mention QuickBooks, and I have 30 QuickBooks “experts” following me in hopes of getting business. How long will it take to wear people down dealing with these kinds of requests?… I predict Twitter will find its social media and marketing niche, but I cannot see it being nearly as important as some marketers are making it out to be.”

He also points out the retention rate of Twitter is ONLY around 30 percent, which means seven out of 10 people try it out once and don’t come back. So to get users the hype must continue and the process it becomes overhyped.

“Twitter seems to be proud of the fact that it has no profit model. I’m imagining that the company will want to keep the hype building long enough to sell the company for a few billion dollars… I also cannot foresee Twitter’s user base growing too much higher than it is now.

The simple functionality of Twitter will also lead to a glut of competition in the next few months, with companies duking it out for the best implementation of the microblogging model. There’s not enough to Twitter to keep it on the top of the heap. Being first in this case, as we’ve seen, is not a guarantee that you will have longevity.”

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I’d love to learn what you think.

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Swine Flu – Want to be informed?

by Rob Paterson

Wikipedia has a brilliant site here

For Twitter use #swineflu

Of course it goes without saying that the web community will offer the fastest and the most relevant coverage. Why we should care?

pandemicseverityindex

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A Two-Way Flow

by Jon Husband

Jeremiah Owyang, a web strategist / analyst at Forrester whom many know as an energetic voice in the area of Enterprise 2.0, points to a new initiative (Change.Force.com – A Citizen’s Briefing Book) by the Obama administration.  In the first few paragraphs of his analysis, he states that in his exchanges with executives he is experiencing more openness to the use of social technologies, and hence of some greater degree of transparency with customers, employees and other stakeholders.

A Wisdom of Crowds tactic being adopted by the new administration … interesting idea, we’ll see how it plays out.

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Obama Crowdsources Daily Ideas with Citizen’s Briefing Book

I just learned from Leverage’s Mike Walsh that Obama will receive a briefing from the top voted ideas that were submitted by the American people each evening see Change.Force.com (a play off) . This method of keeping in direct communication by ‘listening’ to the citizens leans on voting style technology similar to Dell’s Ideastorm. My colleague Josh Bernoff will be pleased, as he requested this feature a few months ago.

You’ll need to login and register (I suspect they can use IP addresses to determine point of origin within US) in order to confirm location but that’s not completely accurate. How can Obama extend this further? Make a similar site for all other nations to submit ideas for foreign policy. This doesn’t come without challenges of course, the system could be gamed, and there’s no promise he’ll make changes based on our feedback, we’ll see.

I talk to the executives of the world’s largest brands, after Obama won the election, I get a lot less push back –it’s rare I have to have discussions now about the validity of social technologies.

Of course, social technologies still come with risk, but for some reason this feels really good, we’re all a bit more connected and the internet helps to bring us together.

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I’m not surprised.  if I were the leader of an organisation, I would just get on with it, as it seems clear to me that the permanent and ubiquitous presence of the Web in our lives is creating what is effectively a new sociology of expectation, namely of at least having a voice and to some degree being "heard" by hierarchical leaders in our societies’ institutions.

A culture continues to grow, informed by a "two-way flow of power and authority, based on knowledge, trust, credibility and a focus on results"

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