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Enterprise 2.0: day 1 take

By | June 16, 2010, 6:30am PDT

Summary: After five years, Enterprise 2.0 still seems full of rhetoric rather than concrete proofs that vendors can trot out at the drop of a hat. What are they missing?

As I said in an earlier post, I hoped that attending Enterprise 2.0 for the second out of three years would be a revelation. So far I have been disappointed. While the rhetoric quality has improved, the same basic problems remain.

Mike Krigsman characterizes the story in these words:

It’s time for Enterprise 2.0 to establish clear relevance to corporate folks working together on concrete projects with specific goals and targets.

The most successful practitioners, vendors, and consultants understand that Enterprise 2.0 will only show its value by making new and existing organizations operate better than otherwise possible.

I find it hard to agree with that statement. During my value proposition session with Oliver Marks I had this to say:

  • Simply assuming that somehow ROI disappears as something that needs to get done because it is like asking the value of email is a fundamental misunderstanding of what E2.0 technologies represent to the CXO that has to justify spend. There are so many different ways of approaching E2.0 that you cannot make the same apples to apples comparison.
  • Having said that  - guess what? Creating an ROI case is simple. Talk time savings. If you can do that in a cogent manner and demonstrate break through value, you’ll likely get an approval tick on the requisition.
  • Ironically, while ’social anything’ is about as unappealing, it could pave the way for introducing experienced social psychologists into the equation in a way that doesn’t leave top management thinking the company needs some mass therapy session. Very few organizations I come across seem willing to engage these professionals in the early stages of architecting solutions. To me, that’s a huge mis-step in the change management process. Almost everyone I meet agrees: enterprise 2.0 is little to do with technology and mostly about people. If that’s the case then why not bring in these change experts?
  • Solving the ‘what’s in it for me’ problem remains one of the biggest barriers to success. 80%+ of people turn up to work to get things done for a fair wage and then get on with their lives. Assuming the world revolves around some co-mingled work/life scenario is both deluded and dangerous. Emphasizing the latter without recognizing the former alienates people.
  • The position I’ve argued that content without context in process is meaningless still holds true. Virtually all solutions I see are detached from the process issue.
  • Designing simplicity into the UX is still a nascent thought in the minds of developers wrestling to stake their claim. If you really want people to adopt and accept the notions underpinning E2.0 then you’d better be certain they get the value right off the bat. In theory, wiki ought to be the fertile hunting ground for that discussion yet I routinely find companies that cannot make wiki work. Why? The ‘people editing’  issue has not been addressed.
  • On the question of incentives, I recalled an example from IBM where peer recognition for having attained certain levels of expertise is valued internally to IBM. In my analysis, this weighs far heavier than the odd prize , T-shirt or complementary ticket to a ball game. Why? Peer recognitions is enduring.
  • Just as Jason Wood contends that software buyers are irrational, so are software consumers. What may at first seem irrational often turns out to be sane. In order to understand what appeals, you have to enter the world of the irrational. How many consultants, armed with their strict process driven playbooks are truly prepared to do that?
  • Mike mentions SAP Streamwork as:

    …intended to facilitate what it calls “collaborative decision making.” SAP’s entry into the collaboration market validates deep connection between Enterprise 2.0 and the traditional enterprise processes.

  • The fact SAP enters a market validates nothing except in the eyes of the gullible prepared to buy into a brand without peeking under the covers. Streamwork troubles me as a solution looking for a problem. Show me problems that Streamwork solves in a way that’s as simple and meaningful to use as (say) Skype, Yammer, Google Docs AND is integrated directly into SAP processes and then I’ll take notice.
  • Federated services as alluded to in JP Rangaswami’s keynote represent one way of avoiding the inevitable confusion around making choices among competing solutions. To date, that has seen scant attention from software vendors that continue in the misguided belief that one size fits all.

By the way - I’m not picking on Mike in particular. I am simply pointing up the ease with which it is possible to assume that because a brand says ABC is so that the world and his dog will likely agree. Hence when Andrew McAfee, the acknowledged ‘father’ of E2.0 name checked Gartner and PwC as E2 validators, I had to smile wryly. From my limited observations, these are two of the last organizations I’d likely approach for a meaningful discussion on this topic. Why? Because there are analysts, consultants and integrators from many tiny firms who, for years, have been trying to figure this stuff out. They might not have the TLA gravitas but those I speak with come from positions of authority. By which I mean they’ve been down in the trenches trying to make E2.0 deliver value. Can the big brands named say the same?

Despite my personal impressions, E2.0 is not as grim as I might imply? There are nuggets here and there and a sense that the industry is in the mood to grow up. I’m just not sure buyers are seeing enough maturity. Perhaps the best way to describe it comes from the representative of a large government organization I ran into who said: “I can see what they’re saying. I’m not sure I am identifying the killer solution provider.”

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Dennis Howlett has been providing comment and analysis on enterprise software since 1991.

Disclosure

Dennis Howlett

Dennis Howlett is committed to maintaining the independent and opinionated stance that his writings are well known for and does not enter into contracts that would limit his freedom of expression in any way. However it is important in the interests of full disclosure to inform readers of those relationships so they can form their own judgment. This page therefore lists all Dennis Howlett’s current business relationships.

Dennis’s consulting arrangements occasionally bring him into direct or indirect business relationships with some of the companies about which he writes, and/or their competitors. Where such a relationship exists, it is disclosed at the end of any article that references the company concerned.

Dennis owns AccMan, an independently produced blog covering the professional services market, primarily focused on Europe. It is currently sponsored by selected TextLink Ads and named sponsors in the ‘Sponsored Content’ block.

He is a member of Enterprise Advocates, a loose association of consultants, and analysts who are concerned with the buyer side of the buy-sell enterprise relationship.

He is a paid contributor to IT Counts, a site dedicated to discussing technology issues as they related to ICAEW members. He also advises ICAEW on certain aspects of its member outreach programs.

He is an SAP Mentor and participates in SAP Mentor webinars. He has recently produced a guide for SAP resellers wishing to record customer videos. Other than as disclosed here, Dennis maintains no business relationship with SAP and is not financially rewarded for his role as a Mentor.

Dennis maintains relationships with a range of end user organizations and in all cases is subject to non-disclosure agreement. He has no current ‘paid for’ relationships with ITC vendors except as disclosed above although certain vendors comp travel and expenses claims. For the benefit of doubt, T&E reimbursement is a common practice among European based writers. It is often the only way we can attend important events. Even so it doesn’t impact our analysis of what vendors have to say. If you believe otherwise then feel free to ignore what is written here.

Except as mentioned above, Dennis has no other investments in any tech industry participants. This page last updated 23rd February, 2010.

Biography

Dennis Howlett

Dennis Howlett has been providing comment and analysis on enterprise software since 1991 in a variety of European trade and professional journals including CFO Magazine, The Economist and Information Week. Today, apart from being a full time blogger on innovation for professional services organisations, he is a founding member of Enterprise Irregulars and an investor in a European start-up. Prior to, Dennis was technology and tax partner in a British firm of Chartered Accountants for 10 years. Prior to that held various senior finance roles across a broad range of industries.

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RE: Enterprise 2.0: day 1 take
FAULKNE 13th Oct
Good day to confirm this comment I would appreciate T h e b e s t o f Z D N e t d e l i v e r e d your website very nice to everyone Yes, Oracle is the only one with shared-disk architecture, but that is there advantage. It means you can add or remove nodes and the database lives on. In a shared nothing architecture, if you lose a node, you lose the system. I'm sure Oracle appreciates EMC highlighting their advantage.I also desire to signal in your RSS feeds. Thank you as soon as once again and maintain up the great operate Awesome post! Thank you very much || thanks for nice content this is really benefit to me.
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RE: Enterprise 2.0: day 1 take
Naomi Moneypenny 16th Jun 2010
Great piece and have to say I agree. I think the 'what's in for me' as an employee, really comes down to making your job easier (in terms of information access and knowledge transfer) and learning so that I can be more productive and creative. It's really about building learning into the fabric of a business, at every level for every employee. I hear a lot of the same trends in today's talks, but the uber-concept in my opinion is discussed in The Learning Layer (new book soon to be released), see http://www.LearningLayer.com
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On Enterprise 2.0
XceliantBear 16th Jun 2010
Enterprise 2.0 is meaningless: an empty piece of rhetoric that has no foundation for an economy that's going into deeper recession and where discretionary spend on vague IT concepts has been completely eliminated.

Web 2.0 was (and still is) a brilliant concept: the idea of creating an 'architecture of participation'. Unfortunately, 'enterprises' are still dominated by ego-centric CEOs, who, if anything, have increased the bullying and fear of the 'command and control' culture that characterises the workplace.

Collaboration is a human thing, it's obvious and doesn't some BS snakeoil-selling 'social psychologist' to come up with yet more techno-babble dressed-up as 'change'. It is ironic that the industry that most talks about change (apart from management consultants) is IT vendors - and these are enterprises who also go on endlessly about 'social apps' and collaboration, yet are, in themselves, highly-resistant to change or genuine collaboration.

The late Sumantra Ghoshal coined a very academic phrase for this behaviour: he called it 'the pathologies of the inherited context'. In a more straightforward way, he went on to talk about 'the 4Cs' of this resistance to change and collaboration: Compliance, Control, Constraint and Contract.

In less polite langugage, we all recognise this resistance to change and collaboration as 'anal retention'. And when you look at large enterprises in USA and UK today - IT and other industries - the people that hold power at the executive level are more often than not narcissistic, ego-centric, nasty and bullying. This will never change until we educate the next generation of leaders in a completely different way. The signs are not good in USA. Business people under the age of 45 are very different to the older generation in USA: they simply lack inter-personal communication skills and will never in our lifetime adopt a culture of genuine change and collaboration.

Enterprise 2.0? It's a fantasy.
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RE: Enterprise 2.0: day 1 take
carlsson 17th Jun 2010
@XceliantBear Ahhee... not agreeing here -- but then again, I am from an IT vendor (IBM) so as you point out, we have a stake in this.

But I still see internally in IBM that we are using Collaboration tools and other Enterprise 2.0 concept with great success. We have tons of internal success stories, and new coming every day, such as:

- using blogs for project updates;
- using files sharing for sharing your work, but for sure also discover others work;
- using social tagging to improve our internal search (which is greatly needed indeed...);
- using instant messaging, not only for 1-2-1 communication, but also for research brainstorming sessions, idea development, etc. and so on...........

And we measure the effect of these investments, both in quantity (ROI; less e-mail sent; less storage used; etc.) as well as qualitative (i.e. some 75% IBM'ers says that they are more productive and informed when having access to these tools).

Sure it takes time to change the behavior of 400.000 employees around the world (and as always, behavior is the hardest thing change).

But we are well on our way, so I do not agree to your comments like: "and these are enterprises who also go on endlessly about 'social apps' and collaboration, yet are, in themselves, highly-resistant to change or genuine collaboration."

I do not see that resistance -- I see value to the business and me.

But that is of course my point of view.... and we all have different opinions!

//Christian Carlsson, IBM
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How to turn E2.0 into something useful in real-world business
daniel.pereznet Updated - 17th Jun 2010
It is simple.

1. Do not call it Enterprise 2.0, or even Web 2.0.

2. Get out of the Lab, get out there with the people you want to use this stuff everyday. That is something I had to learn to do. I call it the tech-geek rut. Get out of the tech-geek rut.

It is about putting current information services to effective use in a specific corporation's everyday business environment.

Getting out of the tech-geek rut:

So many people in the industry that comprises E2.0 are more like that engineer in a lab. They are out of touch with the person in the working world. Out of touch with CPA, MD, HR Manager, etc.

How do you get stuffy I.T. sales engineers out of their tech-geek-rut, is to have them follow an Accountant, HR Admin, or other "in the trenches" working professional around for a day or two or even a week and then they might have a better idea of how current information technology can help them.

Being Internet-literate is not static

The best way to educate business professionals and corporate executives is to have them follow a teenage kid around with G3-enabled cellular phone. They will see what these kids do with social apps and how they interact and accomplish daily tasks. Then they will get a feel or what is possible with current information technology.
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RE: Enterprise 2.0: day 1 take
apeksha.amity 6th Aug 2010
I think yes, its a great piece of info. Small businesses and big enterprises are gonna drive lot of liquidity into collaborative efforts!
But then the big question is: How does it matter for Enterprises?
The phenomenon of social media is starting to have a very significant impact on how we think about none other but - Work!

The SOCIAL shift whispers the notion that without a common goal, it is nearly impossible to form an effective team and so, an Organization.

Indulge in an exciting and promising session on collaborative culture for Enterprises: http://www.impetus.com/featured_webinar?eventid=23
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