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Beyond Web 2.0Why internet innovation matters
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Discussion points
1) Web 2.0A platform for participation.
2) Web 2.0Already in use.
3) Web 2.0+Innovations create real business value.
4) Web 2.0+The bar moves higher.
5) Web Innovation:What does this mean for BT Global Services?
6) Summary and take-aways
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Web 2.0A platform for participation.
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What is Web 2.0?
Web 2.0 is the businessrevolution caused by the move
to the Internet as platform.
-Tim OReilly, 2004
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Web 1.0 - the operating system as platform
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Web 2.0 - the Internet as platform
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Web 2.0 - the Internet as platform
Web 2.0 is participationIt attempts to harness the collectiveintelligence of Web usersthe sites experiencing the fastestgrowth today are the ones that understand their audiencesneed for expression, stimulating others to do the same.
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The network effect
Openstandards
Openarchitecture
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The network effect
Openstandards
Openarchitecture
Read &write
Bandwidth& distribution
People can contribute and react to the contributions ofothers; creating a network effect: the more peoplecontribute to a site, the more powerful the site becomes.
Socialnetworking
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Web 2.0Already in use.
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A platform for open standards
www.housingmaps.comcombines data fromCraigslist.com andGoogle Maps
Salesforce.com
Skype console
Google: Makes their applicationprogramming interfaces(API) public
Salesforce.com: Their APIs are public sodevelopers will buildextensions
IP Telephony: Has become the futurestandard of choice
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A platform for disruption
Googles Android mobile softwareis the first complete, free, open-source, mobile platform
Google released the SDK onlineand will award $10M to developers
who build great applications
Potential to disrupt mobilebusiness model
Watch Googles Android demo video
http://www.youtube.com/androiddevelopershttp://www.youtube.com/androiddevelopershttp://www.youtube.com/androiddevelopers7/31/2019 Web2.0 Presentation v2.0
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A ubiquitous platform enabling participation
Increases in availability, affordability and adoption of bandwidth
Global distribution provides high quality, low-cost breadth and reach
Example: IBM.com is available in 33 languages, with localised content and
functionality for 111 countries
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A platform for participation
Yesterday it was one-to-many , todayits many-to-many : Knowledge management and Wikipedia Blogs Collaborative categorizing Product and service reviews
What are the implications? Rise of citizen influencers is eroding bigmedia Empowerment of niche interests andcommunities Consumer views about products,
services and brands take center stage Lower barriers to entry
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Participation in Wikis and forums
Wikipedia transformed collaborative authoring, collaborative intelligence Widely used throughout corporate world* IBM has 67,000 wiki users + 56,000 pages**
Sun Microsystems maintains active forums as primary means of tech support and rewardsthose who contribute
*How companies can make the most of user-generated content The McKinsey Quarterly (August, 2007)
**Wikis Change The Meaning Of Groupthink Forrester Research (January, 2007)
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Participation in social networks with user-generated content
Social networks are communities thatshare interests and activities: They interact via chat, instant messaging,email, voice, file-sharing, blogs,discussion groups and forums the sumof which creates value
Brands have entered into dialogue withcommunities and customers: Brands to be more credible Brands now understand customer needsand issues on a deeper level increasingcustomer satisfaction
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Participation in with user-generated contentattracts high engagement
comScore analyzed engagement levelsamong visitors at top five UK UGC sitesand those visiting top 50 Web properties
Visitors on UGC sites:
Visit more frequently Stay longer View more content Are more engaged*
*Leading User-Generated Content Sites See Exponential Growth in UK Visitors During the Past Year comScore Press Release (September 11, 2006)
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User-generated content participants havedifferent qualities
Five groups engage with UGC onlyfour contribute:
Creators Critics Collectors
Joiners Spectators Inactives
Social Technographics: Mapping Participation in Activities Forms The Foundation Of A Social Strategy Forrester Research (April 19, 2007)
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Inviting participation has risks
In 2006, Chevy challenged users to remix Tahoe commercials*
UGC attacked Tahoe on MPG and harmful effects to environment
Videos circulated throughout Web, making damage control impossible
*General Motors hosts ads attacking Chevy SUV ZDNet.com (April 3, 2006)
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Web 2.0+Innovations create unique business value
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Business model supported by collective intelligence
Google Sponsored Links Ratios determine positions of ads helps shapes user experience
Google Organic Search Results
Collective intelligence used toqualify search results
Helps determines order of searchresults
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Using blogs to shorten sales cycles
IBM developerWorks blog Platform for dialogue Technical buyers need conversations
instead of getting info throughaccount team
Helps IBM smooth product demos
and negotiations later on
*Marketing's Role In B2B Blogging: B2B Marketers Should Enlist Blogs To Support Future Sales Processes Forrester Research, February 22, 2007
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Low-cost service and self-service
Low-cost service:Palm Treo discussion forums are form of low-cost serviceNetwork effect increase value of the forum
Self-service:Salesforce.com has more than 600K subscribersThey continue to build and grow sales management offerings pushing bar higher for
those not using Salesforce or similar service
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Collaboration tools are migrating to the Web
AOL instant messenger most widely used free service leads with 52% share 341M consumer and 182M IM business users projected for 2007* Unified communications and collaboration (UCC) offerings include those from Nortel,
Microsoft, Cisco, BT and others More than 350,000 US small and medium businesses use Skype UCC and IP
telephony service
Nortel MultimediaCommunicationServer
*Instant Messaging and Presence: Market Size, 2002 2007 (Ferris Research January, 2003)
Microsoft UnifiedCommunications Client API
Cisco UnifiedCommunications
Skype ConsoleAOL InstantMessenger
Customer Service IM usedby Fidelity Investments
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Widgets are made available to users to helpwith visitation and loyalty
Yahoo!, Microsoft and Apple offer similarapplications
Small, light software programs weather,games, shopping, sport scores and stocktickers, etc.
Widgets distribute functionality and content to desktop or personal pages
Source: Widgets make a big splash on the Net USA Today (November, 2007)
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Emergence of virtual worlds
Second Life is attracting organizations with a desire to foster innovation,encourage dialog and increase collaboration through:
Events and meetings (trade shows, press conferences, product introduction, recruiting) Erasing geographical boundaries increases attendance and participation Virtual attendance builds community
Business centers staffed with multi-lingual sales avatars Co-branded initiatives
New product introduction Advertising and promotion In the future, SimCity-like ERP applications to simulate cities, infrastructure, services
If all of a sudden, we have the ability to have far more productive meetingsbecause there are these technologies that facilitate people collaborating with each other, bringing resources, that could have a huge impact on productivity.
Wladawsky-Berger, VP technical strategy and innovation, IBM
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BTGS already riding wave of Web 2.0 innovation
UCC tools for productivity and social networkingWikis for collective intelligenceBlogs facilitating dialogue and thought leadershipGlobal services supersite will use taxonomy and tagging as interface foundation21CN software developer kits are availableGreen, sustainability and collaboration campaigns
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Web 2.0+The bar moves higher.
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The bar moves higher: collaborative to semantic to WebOS
From Collaborative Web (2.0) to Semantic Web (3.0) to WebOS (4.0)
Source: Nova Spivak and Radar Networks
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Product features
Innovations Delight
Cost of entry -- Must have
Product Functional
Customer Satisfied
Product Dysfunctional
Customer Dissatisfied
Functional Arms race
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Innovation in Web 2.0 hyper-speed
PlatformParticipation
Enterprise 2.0 is about using the best of whats been learned for maximum business benefit, including:
Increasing innovation, knowledge-sharing, productivity and efficiency:Through use of social networks, wikis and blogs that support like-minded business interests, strategy and project
development
Increasing efficient collaboration:By using MeetingPlace, WebX, and LiveMeeting
Expanding flexibility:As to how and where employees work and interact with each other, with vendors, partners and customers
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Web 2.0+What should this mean for BT Global Services?
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Innovator Looks forward
Userneeds
Follower
Looks backward
EarlierInnovators
tactics
How do we approach innovation?
What does this mean for Global Services? Need to create structure that creates innovation
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How should we approach further innovation?
Most important drivers of innovation areculture and people
Companies face significant challengeswith both
Whether company has the right people toinnovate
Whether top managers adequatelyprotect these people*
Can BT answer yes to both questions?
*How companies approach innovation: A McKinsey Global Survey The McKinsey Quarterly (2007)
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Web 2.0 strategy
Use social media to build brand of BT Global Services as an innovator
Establishdigitalinnovationsmethodology
Develop aninnovationportal
Host dialoguesand buildcollaborativeknowledge onissues whereBTGS addsvalue and hascredibility
Using Bigger
Thinking as ananchor,expand into C-Suite dialogue
Push discussions out beyond their point of origination
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Web 2.0 multi-faceted digital strategy
Establish digitalinnovationsmethodology
Develop aninnovation portal
Host dialoguesand buildcollaborative
knowledge onissues whereBTGS adds valueand hascredibility
Using BiggerThinking as ananchor, expandinto C-Suitedialogue
1. Understand customer points of pain that could benefit from socialization2. Research and coordinate an agenda of possible programs, including new and
competitive best ideas3. Pilot programs to develop them4. Launch programs on a broader basis within the existing communications strategies5. Monitor programs to manage dialog and gain understandings
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Web 2.0 multi-faceted digital strategy
1. Develop a portal that facilitates insightful discussions, shares best-practices andprovides a fertile ground for collaborative innovation amongst qualified members
2. Use insights and information gathered from digital innovations methodology manageassociated risk and develop areas of excellence
Establish digitalinnovationsmethodology
Develop aninnovation portal
Host dialoguesand buildcollaborative
knowledge onissues whereBTGS adds valueand hascredibility
Using BiggerThinking as ananchor, expandinto C-Suitedialogue
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Web 2.0 multi-faceted digital strategy
1. Use blog environments to draw insights from prospects, customers and internally2. Focus discussions on specific verticals and themes ( transformation , pain points,
etc.)3. Develop a relationship plan for engaging external, influential bloggers
Establish digitalinnovationsmethodology
Develop aninnovation portal
Host dialoguesand buildcollaborative
knowledge onissues whereBTGS adds valueand hascredibility
Using BiggerThinking as ananchor, expandinto C-Suitedialogue
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Web 2.0 multi-faceted digital strategy
1. Expand blog dialogue to include insight from BTGS c-suite and senior management
Establish digitalinnovationsmethodology
Develop aninnovation portal
Host dialoguesand buildcollaborative
knowledge onissues whereBTGS adds valueand hascredibility
Using BiggerThinking as ananchor, expandinto C-Suitedialogue
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Business innovation in Web 2.0 hyper-speed
Enterprise 2.0 is about using Web 2.0 to improve businesses:
Increasing innovation, knowledge-sharing, productivity and efficiency:Through use of social networks, wikis and blogs that support like-minded business interests, strategy and project development
Increasing efficient collaboration:Through a new generation of collaboration and communucations tools including telepresence, collaborative workspaces, CRM systems
Expanding flexibility:As to how and where employees work and interact with each other, with vendors, partners and customers browser, mobile, media devices
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Summary and take-aways
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Take-away: Web 2.0 is a platform for software
Web 2.0 is a combination of technology innovation and social effects that have combined, making the Internet a ubiquitous computingplatform where:
The platform can evolve and adapt quicklyThe individual can create as much as consume contentCommunities can share and build understandingsRich and ubiquitous media and communications creates deeper engagement and relationships
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Take-away: Web 2.0 is creating unique business value
Within the Web 2.0 revolution, organizations have unique power to create value through flexibility, new forms of collaboration,convenience and cost transformation:
Use of open platforms, taxonomies, and distributed content management can empower fast, flexible responses to customer needs and marketsCosts can be re-engineered through automation, open publishing and self-serviceCollaborative intelligence self-generate knowledge bases that can organically serve known and future needsFormal social networks can replace matrix-overlays in corporation management
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Take-away: Next wave will be exponentially more powerful
The next wave of innovations will bring:
The Data WebThe Semantic WebThe Ubiquitous WebThe Only WebThe Geo WebThe Identified Web
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THANK YOU
Why Internet Innovation Matters