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Enterprise 2.0 – analyst comment

by Justin Souter on May 10, 2010

This entry is part 2 of 3 in the series Enterprise 2.0

Introduction

Part 2 in a mini-series about how Web 2.0 is going to change how organisations function.

This post gives a third-party viewpoint of the potential impact of Web 2.0 on the business.

Research reports

image Rather than blather on myself, I’m reproducing excerpts from this IDC press release, which I think are instructive (and include some stats). IDC is a well-known tech industry analyst.

Social Business Goes Mainstream in the Enterprise, Forcing Cultural and Process Shifts from the Inside Out, IDC Research Finds
26 Jan 2010

FRAMINGHAM, Mass., January 26, 2010 – Recent IDC research on the intersection of Web 2.0, Enterprise 2.0, and collaboration shows that we are entering a time of significant cultural and process change for businesses, driven by the emergence of the social Web. According to a new IDC survey, 57% of U.S. workers use social media for business purposes at least once per week.

“If you look deep into the social business movement you will see that we are on the brink of a fundamental change in the way businesses interact with customers, partners, suppliers, and employees,” said Michael Fauscette, group vice president, Software Business Strategies. “Businesses today fall into three camps – the social ‘denyer’, the accidental socialite, and the socially aware. Regardless of where a company falls in these categories, customers expectations of technologies and the way they interact with suppliers have changed, driven greatly by the social Web.”

Additional findings from IDC’s social business research include:

  • 15% of 4,710 U.S. workers surveyed reported using a consumer social tool instead of corporate-sponsored social tools for business purposes due to the following top three reasons, (1) ease of use, (2) familiarity due to personal use, and (3) low cost.
  • The number one reason cited by U.S. workers for using social tools for business purposes was to acquire knowledge and ask questions from a community.
  • While marketers are the earliest and largest adopters of social media, these tools are now gaining deeper penetration into the enterprise with use by executive managers and IT.
  • Software companies will increase their social software offerings significantly as customer demand steadily increases and “socialytic” applications will emerge, fusing social/collaboration software and analytics to business logic/workflow and data.

The press release goes on to say:

The IDC study, The State of Social Business: 2009 Survey Results (IDC #221383) outlines the use of social media for business purposes.

  • It is broad in scope and represents the current state of social media usage for business in the United States, providing a profile of business workers leveraging these newer tools, and an understanding of the use cases for each social tool, including blogs, microblogs, discussion forums, photo/video sharing sites, social bookmarking tools, social networks, Web chats/instant messages, wikis, and virtual worlds.
  • For this primary research effort, IDC captured the use of consumer social tools and corporate-sponsored social tools by functional role and company size.
  • This survey also asked respondents the business objectives accomplished by each social tool, challenges involving social media initiatives, and metrics collected to prove return on investment (ROI), as well as annual budget for sponsoring social software.

The survey is $4.5k as of the time of writing, so apologies if I don’t have any more detail! ;-)

N.b the above report is about the impact of social media on the organisation, whereas a related report looks at the broader impact:

The IDC Insight, The Intersection of Web 2.0, Enterprise 2.0, and Collaboration: The Social Business (IDC #221413) examines the changing business trends around enterprise use of the concepts developed for Web 2.0 and the growing movement for cultural and process change inside the enterprise.

The next post in the series looks at some books that are available on this subject. You might also want to check out my favourites on Slideshare for some useful presentations on these topics.

Series NavigationEnterprise 2.0 – intro & questionsEnteprise 2.0 – books

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