Don’t Gamify Wild Bill

April 26, 2011
Courtesy of eschipul photostream on flickr.

There is a lot, actually a whole lot, of buzz over the past year about the gamification of business, specifically marketing, training, customer service. The discussion too often overlooks the simple point that it is the experience with it, the playfulness of it, that makes a game. Not the scoring system, or the rewards, or anything else can make up for a game that participants (customers or employees) don’t experience as play. I’m not saying that incorporating game mechanics into relationships cannot create a motivating dynamic, at least over the short run. It certainly can.

Jesse Schell offered the point earlier this year that a game is a problem solving situation people enter into because they want to. He went on to say that if you can make a task feel like a situation people enter into because they want to then you’ve made it a game. Additionally, in her presentation “We Don’t Need No Stinkin Badges” Jane McGonical observes that gameful experience requires that participants experience the spirit of gaming rather than simply the mechanics, in other words that the rewards of playing a game people want to continue playing are intrinsic rather than extrensic.

The point of this post is to note that gamifying business to engage customers is one thing. Customers can almost always walk away from a commercial relationship if they want to, except perhaps in dealings with health insurance companies and utilities. Gamifying business to motivate employees is entirely another type of design challenge.

Using gamification to elicit patterns of action that enable employees to work together, such as knowledge sharing, easily slips into involuntary play and reinforces the type of competition that currently sustains siloed organizations. I’ll add to this point in a subsequent post on gameful collaboration where I contend gamification in social business aiming to increase collaboration must design for emergence, not just competition and cooperation, as guiding design principles for play. However, for now, let me just flesh out the point about gamifying employee relationships with an example from the construction industry and personal experience.

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Social Learning and Exception Handling

December 9, 2010

We know that most learning in the workplace is informal. Most observers put it at around 80%. Recently, John Hagel and John Seeley Brown contended that “as much as two-thirds of headcount time in major enterprise functions like marketing, manufacturing and supply chain management is spent on exception handling.” Of course, that fact is a result of the successes of process automation over the past few decades. Yet, still, The Barely Repeatable Process (BRP) persists as an organizational challenge for business.

Earlier discussions here focused on the importance of exceptions, to business process and formal learning. I examined the implications of the Kirkpatrick Evaluation model to the use of social media in learning experience design, while addressing the challenges facing learning leaders. Leading the Business-Centered Learning Experience noted that evaluating formal learning is as much about organizational learning and change management as it is about individual learning, largely because much of the learning, and performance, that matters today occurs at the group level. Marc Rosenberg recently echoed the point in an article in Learning Solutions Magazine, The Special Sauce of Social Learning. Marc noted that social learning is largely a change management challenge for organizations.

 The most basic point to remember is that exceptions to formal business processes require efforts to design a scalable learning architecture that supports content co-creation needed to adapt to emergent challenges and manage the flow of that adaptation through an enterprise’s ecosystem. Whether judging an adaptation successful requires it to result in new formal learning content, i.e. content co-creation, or a new business process, i.e. organizational innovation, or both, remains an open question.

Echoing John Hagel, John Seeley Brown, and Lang Davison’s focus on The Big Shift, Tim Young recently noted the following about  social networking and exception handling,

When an exception happens, we have to step away from our PowerPoint, stop typing an email, or exit a meeting in order to take care of it. Routine work stops. And, our modern reliance on technology to find, aggregate, and alert us to these exceptions has made the task of managing them more burdensome than ever before. Systems that manage exceptions provide the enterprise with vast amounts of data points that have become overwhelming for employees to handle. The applications that we rely on for managing exceptions still rely on process owners to make decisions and respond to the issues. The result is a workforce that isn’t dealing with exceptions well at all. (my emphasis)

The importance of social networking to increasing the effective handling of exceptions is a major focus for those interested in social learning.

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Learnable Services, CRM, and Social Business Design

March 29, 2010

“Presenting a consistent face to customers improves their comfort and satisfaction.”

R “Ray Wang” and Jeremiah Owyang Social CRM: The New Rules of Relationship Management

Marketing, especially social media marketing, and learning, including organizational learning, are both essential components of a dialogue strategy for customer experience design and management. A dialogue strategy builds on the assumption that companies learn more from customers when customers learn from them, and doing so benefits both. I increasingly think it provides a basic framework to think about, and consider as part of your experience design strategy, when relating to customers. Thought leaders increasingly refer to the challenge as social business design.

Given the maturity and diffusion of social media, a dialogue strategy provides a framework to discuss communication as an ecosystem, whether addressing collaboration, innovation, segmentation, sales, customer service, or brands. The key to the process is understanding customers, attracting them, engaging them with sales in mindempowering them to solve your product and service problems, and learning from them to improve products and services, thereby strengthening your brand. It is not simply segmenting them, targeting them, driving them through interactions, and transacting with them through sales.

Over time, people buy things they need from you rather than someone else because they want what you offer, and because they feel an empathic connection, i.e. that you understand them. From my reading, Wim Rampen’s contention that we need to use segmentation the customer’s way gets to the heart of the point. The challenge of learning how to make an empathic connection increases to the extent that CRM (customer relationship management) aims to align customer engagement directly with business transactions.

Those looking for a direct, sustained connection between customer engagement and sales from Social CRM are expecting too much in my opinion. The key question is whether you know that Jane Smith who called for support tonight also chatted with one of your people earlier, or posted (or tweeted) something positive or negative about you on her blog, or posted something about your product/service to a how-to community forum. Knowing any of those things about Jane’s activities and experiences with your brand increases the potential for empathic connection between your people and Jane, meaning your understanding of what Jane needs from your products/services increases.

It would be nice if a monitoring platform could listen for you and, just automatically, determine how influential Jane Smith really is in the scheme of things. It might be nice to have a social media management system that just took care of everything, gauged the influence of anyone commenting about you online, ranked their value relative to your brand, and prioritized the level of response needed. However, in the near term, regardless of how much we want that panacea, your employees, or outsource partners, are going to need to engage with your customers as though their problems are your own

Nestle’ can speak to that issue recently. It is important to note that the Nestle’ example is not the first time a company’s supply chain management, rather than a product or service per se, came under organized criticism. Nike and Shell, among others, found their own supply chain relationships under fire over the past decade. Indeed, Shell’s early experiment in 1998 with a blog called Tell Shell came under such negative commentary from the public that the company shut it down. Nike, on the other hand, engaged the debate and incorporated the criticisms into its business model, I’ll leave it to you to decide which brand strategy makes the most sense for customer relationships.

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Social Learning, Collaboration, and Team Identity

March 4, 2010

Harold Jarche recently offered a framework for social learning in the enterprise in which he draws from a range of colleagues (Jay Cross, Jane Hart, George Siemens, Charles Jennings, and Jon Husband, all members of the Internet Time Alliance) to outline how the concept of social learning relates to the large-scale changes facing organizations as they struggle to manage how people share and use knowledge.

Harold’s overall framework comes down to the following insight,

Individual learning in organizations is basically irrelevant because work is almost never done by one person. All organizational value is created by teams and networks. Furthermore, learning may be generated in teams but even this type of knowledge comes and goes. Learning really spreads through social networks. Social networks are the primary conduit for effective organizational performance…Social learning is how groups work and share knowledge to become better practitioners. Organizations should focus on enabling practitioners to produce results by supporting learning through social networks.

Indeed, Jay Cross suggests that the whole discussion needs framing in terms of collaboration, and I tend to agree. Yet, saying social learning occurs largely through collaboration means delving into the subtleties of how social networks relate to the organizing work of project teams as well as to their performance. After all, much of the work done in Enterprises involves multidisciplinary teams, often spread across departments, operating units, and locations.

One of my earlier posts posed the question Who’s on Your Team? to highlight the importance of social networking to establishing team identity and enhancing knowledge sharing across distributed, multidisciplinary teams. Its focus was on the importance of social software applications in the Enterprise to the ability of distributed project team members to recognize who is on their team at any point in time, and who isn’t. Organizational analysts refer to the challenge of establishing team identity as a boundary definition problem for teams, when members are spread across large distances whether geographic or cultural in nature.

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Customer Competencies, Co-Creation, and Brand Communities

October 20, 2009
Courtesy of Wonderfully Complex's photostream on flickr.

Courtesy of Wonderfully Complex’s photostream on flickr.

Word of mouth communities and networks using social software are increasingly spread over regional, national, and international borders, making them much more important to those who market branded products and services, online and off. The recent buzz around the concept of social business points to the growing importance of social networks and communities to the evolution of business practice. Whether companies are in fact closing the community gap or the engagement gap remains an open question though.

As Rachael Happe of the Community Roundtable notes in commentary on the Community Maturity Model:

in the stages before a company becomes truly networked, metrics are isolated to supporting one business process vs. in a networked business the whole business becomes social and the communities are set up to support cross-functional goals.

In other words, customer communities approaching maturity produce value for the business, or organizational enterprise, rather than only a specific functional area — such as research and development, product management, customer support, or marketing. Rachel’s overall point receives validation in a recent article in the September (2009) issue of the Journal of Marketing that reports on long term ethnographic research on brand communities by Professors Hope Jensen Schau, Albert M. Muniz, Jr., and Eric J. Arnould, “How Brand Community Practices Create Value .”  The most interesting thought in the article for me is their point that customer competencies are a valuable resource for building co-creation opportunities in brand communities.

Unlike earlier discussions of customer competence, Schau, Muniz, and Arnould contend trying to co-opt customer competencies is the wrong strategy. Rather, their research findings suggest community management benefits from developing opportunities for customers to grow their competencies with the brand. They make it clear that their research indicates,

Companies wishing to encourage co-creation should foster a broad array of practices, not merely customization.” In other words, don’t try to keep the community focus only on what benefits the brand as you define it. The important point to keep in mind when discussing value in brand communities is that members create value for themselves through producing cultural capital distinguishing their status relative to the community, aside from the ROI and business value gained by the company owning the brand. Making sure members are provided opportunities to grow their competencies encourages them to reinvest their cultural capital in the brand community.

I discussed co-creation in several posts this past year in relation to eLearning 2.0 generally as well as Nokia and, back in 2005, its overall importance to the challenge of creating successful innovation, including the relevance of customer communities to innovation outcomes. The concept of customer competencies captures the overall significance of co-creation for efforts to produce value through engaging customers. However, Schau, Muniz, and Arnould offer the additional insight that the competencies critical to brand communities are developed through community practices. By practice they mean the linked, implicit way people understand, say, and do things. The term is further used to refer to the activities, performances, and representations (video, graphics, etc.) or talk of community members.  

Experience designers can use the concept of customer competencies  to inform choices about how to manage practices in customer communities.
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Shaping Social Business Ecosystems as Learnscapes

August 18, 2009

shapeThe emergence of social media provides people inside and outside organizations with a way to actively speak about, speak to, and engage the product and service offerings of enterprises. Currently, 25% of search results for the World’s Top 20 largest brands are links to user-generated content and 34% of bloggers post opinions about products & brands. Enterprises, on the other hand, listen to, engage, and act on insights gained from social media.

A recent study of social media engagement by Ben Elowitz and Charlene Li covered the 100 largest brands and, among other conclusions, noted that,

One recurring theme throughout these case studies is that engagement cannot remain the sole province of a few social media experts, but instead must be embraced by the entire organization.

Channels, policies, processes, touch points and transactions are increasingly viewed as parts of the social experience organizations use to encourage employees in collaboration (also known as — Enterprise 2.0), and engage customers in conversation (also known as — social media) for the purposes of innovation and transformation of the business. The common goal of the ongoing discussion involves transforming business practices to incorporate social relationships into the value proposition to customers and other stakeholders.

Integrating engagement into enterprises is crucial to strategic efforts to use social software throughout an ecosystem, inside and outside the formal organizational hierarchy, as social business design. My contention is that such integration is most likely to succeed with a focused approach to informal learning. In my last post, Scalable Learning and Learnscapes in Social Business Design, I offered the following point.

The concept of learnscape is a useful framework for thinking about the strategic challenge to the range of learning activities occurring as companies attempt to create feedback loops between their brand experience and the functional areas of their enterprise, especially in regard to the multidisciplinary collaboration needed to make these efforts successful.

The concept of a learnscape, initially outlined by Jay Cross, focuses our attention on designing ecosystems to heighten the innovation and performance of people. I lay out some thoughts about learnscapes and shaping ecosystems below, using key concepts from the Dachis Group’s framework, initially discussed in an earlier post on HP’s WaterCooler project. I don’t claim these insights provide proven techniques for shaping enterprise ecosystems. But, I do think they point in a useful direction for those thinking about Enterprise 2.0 and social media strategy to keep in mind. Read the rest of this entry »