There is much talk in marketing circles about how to measure the impact of social media.  Some measurements are hard, such as actual campaign response and conversion rate measures.  Others are a bit softer, such as measuring campaign reaction frequency and tone (e.g., positive, neutral, negative). While both are valid measures, I do think we have been missing a broader, yet critical component of our measures—the overall financial impact of word-of-mouth (WOM) spread.

It occurred to me today that I may already have a way to measure WOM influence and the impact of social media.

Years ago, I came up with a simple equation to measure what I called, the “Residual Value of a Customer.”  In other words, this is a calculation to determine value of an average customers’ impact on your business relative to their individual influence on other customers.  Keep in mind that this was before the internet and social media tools, so the sphere of influence of an individual customer was generally much less—maybe 7-10 people total.  However, I think the logic still applies today.

The Residual Value of a Customer takes into account the annual sales to a customer, the expected tenure as a customer, and the estimated number of people influenced.  For example, if “Customer A” spends $150 a year with a company and the average tenure is three years, then “Customer A’s” value to the organization is $450.  However, if “Customer A” recommends the product/service to just one other customer who follows the same spending/tenure patterns (as the average), “Customer A” now has a residual value of $1,350.

Let’s take this thinking a step further.  Recent research has suggested that the average Facebook user, for example, has 120 friends.  The average user may interact meaningfully with between 10 and 20 Facebook Friends within a 30-day period.  Using the calculations above, let’s say “Customer A” influences 20 friends within a 30-day period.  “Customer A” now has a residual value of $27,000, as do each of those 20 friends who adhere to the average customer measures.  In this first circle or ripple of influence the residual value of these 21 customers is now more than one-half million dollars over the next three years, assuming the averages spending and purchasing life remains consistent.

These are significant numbers, and all brought about by one customer sharing experiences with a circle of friends.

I have used this model a number of times to demonstrate the power of WOM marketing programs to senior management.  It is simple to understand, and proven using average customer sales and tenure numbers.  In the majority of the cases, I’ve been successful in gaining support from senior management for at least testing WOM or now, social media, programs.  I have also used the Residual Value of a Customer to demonstrate the opportunity cost for not engaging in WOM.

In the spirit of sharing, I’ve created an online version of the model for you to use here: Residual Value of a Customer Calculator.  Feel free to use this model and share with others.

I’d appreciate your feedback.

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Post tags: bit, campaign, campaign response, circle, circles, conversion, conversion rate, critical component, Customer, day, example, Facebook, facebook friends, financial impact, frie, impact, influence, logic, management, Marketing, measurements, measuring social media, media tools, mesurement, model, number, period, rate, Residual, residual value, response, Social Media, spending, sphere of influence, talk, tenure, today, user, valid measures, Value, WOM, word of mouth

Digital interaction is an interesting thing, isn’t it? Through Twitter, we have meaningful conversations with people we only know only online. Our Facebook accounts reconnect us with friendships we previously thought were lost to time. We carry our friends with us wherever we go and thrive on the capability for instant interactions. Some of us are reliving our past, while others of us are making business connections. In the process, many of us have broadened our definition of a “friend” to include those people we have just met and we share the most unremarkable parts of our lives as if these friends were “long lost,” rather than “newly made.”

We humans are social animals, of course. Most of us like engage with others so that we can have an understanding of where we fit into the fabric of our culture. Yet we Americans, in particular, are finding ourselves growing disconnected from those around us. We overwhelm ourselves with extracurricular activities to occupy our time, we work too much and relax too little, and we focus on getting “things” done, rather than experience doing “things.” Overall, we have lost the personal connections to the people in America who make our “stuff,” grow our food, or frankly, those who live next door. It is almost as if our individual desires for personal independence and self-reliance have eclipsed our need for social interaction. They have not, of course. Our requirements of social interactions are just different now from before.

Today, we try to balance our individual desires with our need for social interaction by leveraging digital technologies into the mix to help us maintain our personal connections in the lulls of our daily living. We all do it, but some of us do it better. It seems to me that each generation appears to connect and build relationships differently using technology. For example, I have observed that Millennials use social media as a way of extending their daily interactions with their friends. With their mobility restricted by expansive neighborhoods and overprotective parents while growing, they had no choice but to explore new online social technologies as a way to maintain their friendships. As a result, communicating by text, Facebook or MySpace is the same as a phone call or a face-to-face conversation. Social media, and the digital technologies that supports it, are fully integrated into the life of most Millennials.

Observations of Generation X show me that they rely heaviest on cell phones for social interaction, I suspect because most were in college when mobile phones became affordable for and adopted by the masses. Texting and social media tools appear to be time-consumers that this Generation has not yet fully embraced. Instead, they are practical about the use of social media, engaging with those pieces that benefit them most (such as using Twitter to build business relationships), disengaging when there is little personal gain.

Baby Boomers appear to function best using face-to-face, phone and email communications, but are rapidly adopting Facebook. I think, they can “see” their friends and feel engaged in those lives as if they lived next door. This closeness is important to Boomers, especially as they age, because it seems to provide Boomers true “social” opportunities in the context of their primary interests: connecting with old friends, sharing political news and views, discussing religion and exploring hobbies.

Each generation has found a way to make social media technologies relevant to their own lives, to give us opportunities to connect with others regularly, as we allow our culture to put increasing demands on our time. The ability for us to bend and mold social media tools to our individual needs, values, and expectations is what makes it work so well in building and re-building our valued connections.

We need social media tools to help us maintain our ability to be human in the face of the demands made on us by our culture, our peers, and ourselves. These tools are now such an essential part of how we function as individuals and who we are together as a community, that living without social media and supporting technologies is unthinkable.

It is clear to me that social media allows us to maintain some degree of sanity in our lives. Without these tools, we would give up what little socialization we do enjoy; and I am not so sure that would be good for our minds, or our souls.

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This is not my usual type of post. I wrote this for one of my kids who was having a particularly stressful time earlier this year. If you enjoy it, feel free to share it with others. Just leave it intact.

-Dave

————

Thirteen tips for stress free living.

by Dave Harkins

1. When you get up each morning, take a deep breath, hold it, count to 10 slowly, but remember to exhale. Pray for guidance for the day.

2. Don’t obsess over all the little details of daily living. As long as you wake up each morning, you’re good.

3. You’re going to forget something, miss something or make a mistake. It happens. Apologize and move on. Again, don’t obsess.

4. You can’t do everything you think you can do. Try anyway, but don’t kill yourself if you can’t get it all done.

5. Learn to say “No”. Practice now. You’ll need to learn the nuances. It’ll come in handy when you’re a parent.

6. Laugh. Even at stupid stuff. Find humor in everyday living. When you master this, I’ll get you a “”I laugh at my own jokes” wrist band like mine. Remember, life’s easier when you laugh.

7. Don’t take yourself too seriously. Even God laughs at himself and life. Consider the duckbill platypus. I think that animal is God not taking himself too seriously.

8. Only take on ONE “extra-curricular” activity at a time. More than one drains you and takes away focus from the things you find most important in life. The sad thing is, you won’t even realize you’ve lost focus until you’re drained and you’re asking yourself, “Why did I say I’d do that?” Not everything in life has equal importance.

9. Make time for yourself (and to be at peace with God). Find some personal time so you can commune with your thoughts. Everyone needs time for themselves. Especially harried college students and dads with five kids.

10. Remember, no matter how tough you think you have it, and how much stress you think you’re under, there are people in the world right now that would kill to be in your shoes.

11. Life is a series of transitions…you are moving from one life-stage to another. Shakespeare, in the play As You Like it, says it this way, “All the world’s a stage, and all the men and women merely players: They have their exits and their entrances; and one man in his time plays many parts…” Ecclesiastes 3:1 says, “To everything there is a season…” Some adults (and college students) try to play too many parts or have too many seasons all at the same time. Take one part or season at a time. You’ll sleep better. Trust me on this one.

12. Remember you’re loved. By your family (natural and adopted). By your friends, and by God. You’re where you are because of what you will become. I’ve heard that God doesn’t give you more than you can handle. I do believe this, but I think He just wishes you would learn when to say “no”…otherwise He’s really not sure how much you can handle.

13. When it gets to be too much, just pick your nose and fling the contents at someone. No. Don’t do that…it’s gross. But, I’ll bet I made you laugh. If so, refer to #6. See…it works.

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Post tags: college, college students, Dave, Dave Harkins, deep breath, Don, everything, extra curricular activity, God, laugh, Life, living, morning, Motivational, obsess, peace with god, Personal, personal time, something, stress, stressful time, time, world

At the 2009 International Licensing Expo, I watched intently as people from all over the world walked up and down the aisles with their faces literally buried in their smart phones.  There were hundreds of exhibitors, featuring some of the most exciting ideas and concepts in the Licensing Industry; yet, I’m sure many good opportunities were lost or simply overlooked because those exhibiting didn’t make an effort to connect with the lives of those attending.  Most exhibitors simply were not in the “life stream” of the attendees.

I decided to try a little social media experiment at the Licensing Expo to see if we could get into the attendees life stream and create personal engagement.  We advertised our presence on Twitter in print and on signs in the booth, we engaged followers of the Licensing Expo Twitter feed (#LX9) on the floor, and we brought a magician to the booth to create a different life experience on the show floor.

Were we successful?

Our Twitter follower numbers are up modestly since the advertisements began to appear, but the real success comes from the buzz we generated on the show floor.  We tweeted multiple times a day, awarding prizes, sharing memorable visits and talking about our booth activities.  The folks at the Licensing Expo and others took notice and retweeted.  Many booth visitors said the tweets were the reason for stopping.

It seems that we were not only successful in getting into the life stream of attendees, but once we gained their attention we also did well to create a memorable experience (with our magician) when they engaged.  This good memory we helped to create launched many deeper conversations about our brand and our opportunities.  Although, had we not made good use of the moment when we captured their attention, attendees would have been off to the next thing.

Some have said this was a successful use of the digital channel, or perhaps  savvy social media marketing.  Maybe, although I no longer believe in marketing channel silos when it comes to building customer relationships (see my 2003 whitepaper, Customers are Channel Neutral for details).  Customers effortlessly move between channels, so our old definitions are no longer truly relevant-except to say that the customer experience must be consistent regardless of when and where the customer connects.  Today, marketers must subtly connect, be accepted in the life stream, and engage with passion so that it creates a memory for the customer.  So, it was not the use of the social media that mattered in our experiment, rather it was the memory we helped to create.  Social media and digital technologies are only tools to help spread the message.  What is most important for marketers to remember is simply: great stories and memorable experiences spread quickly to build brands–the channel and the tools are irrelevant.

With people from all over the world attending, the Licensing Expo provided a microcosm of what is happening in our culture.  Our personal and work lives are intertwined and we engage both regardless of our location.  Life is no longer exclusively defined by what is happening in our physical presence.  For many of us it resides in the palm of our hands and is illuminated by a tiny screen. As marketers, we must adapt to these changes without being intrusive or obnoxious if we are to keep our brands relevant.

As I see it, this ever-present digital and wireless connection to the world can no longer be called a “channel.”  Digital technologies simply and effortlessly extend the connections in our lives; and life connections are not channel dependant.

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Post tags: attention, booth, Brand conversations, Brands, channel, conversations, Customer, effort, engagement, experience, experiment, Expo, feed, floor, follower, Industry, International, Licensing, Life, life experience, life stream, magician, memorable experience, memory, personal engagement, presence, print, show, smart phones, stream, Twitter, use, Wireless, world

I have always been an early adopter of technology. I like change and I get a bit of an adrenaline rush working with and figuring out new tools and toys. Unfortunately, there are a good number of my friends and family who do not understand some of the newer social media enablers. Twitter cannot be explained to most of them and some flat-out refuse to use Facebook. Others, I am sad to say, carry a cell phone, but cannot manage to “Text.” These are the same people who could not believe I would carry a BlackBerry® and answer emails after working hours, yet they now do the same. Times, and people, do change.

The use of these electronic tools for conversation isn’t as really the time-waster they insist it is. Frankly, I prefer to think of these tools as “time-enablers” instead of a “time-wasters.” Having a BlackBerry®, for example, allows me to take my work with me wherever I go. Whether it’s soccer games, band or chorus concerts, or business trips, I can easily bridge the time between work, play and life most of the time. This means I probably work more hours than the average person does, but I work differently. I like the freedom. After all, it’s all “life,” isn’t it?

Facebook allows me to keep up with my kids and friends while traveling on business or otherwise away from the PC. Twitter opens the doors to ideas and conversations that I would never have if I only talked to the people in my every-day business dealings. For those of us with intense curiosity and a burning desire to continue to learn new things, Twitter is the source of unbelievable amounts of useful information, shared by people with similar passions—even for a skimmer of tweets like me.

In a 2003 blog entry, “The trouble with cell phones,” I shared that my friend Roger might have been on to something when he suggested, “…cell phones have replaced cigarettes as a nervous habit. People pull out their cell phones, call others when they feel bored or need to kill 5 minutes or so, and didn’t plan ahead with some reading material.” Today, this has been replaced with texting, email, Facebook and Twitter. Tomorrow, it will be something else. As someone commented recently, given the choice people would rather be doing something than doing nothing. Mobile technologies allow us to do something all of the time—productive or not.

Technology has obviously evolved since 2003 when cell phones were the primary source of mobile conversations. While we still use cell phones, we use them differently. We talk little and text often. Technology and our use of will constantly evolve and morph into the next generation of tools. Think about it: the “shared applications,” mainframe-thinking of the 70’s evolved into tools like Google Apps and cloud computing discussions; AOL’s IM chat communities of the 90’s and classmates.com have evolved into today’s Facebook; and ASP program models of the 2000’s have evolved into the Software as a Service (SaaS) program models of today. The technology changed, sure. But, it was the users of the technology who drove those changes.

Knowing all of these things, it’s hard for me to imagine that a few short years from now what we call “Social Media” and the technology that supports it, will not have undergone a major transformation for the better. It will do so because of the users. Users of these tools already desire a more streamlined ways to improve communications with others. I have to believe that users will demand better integration of these tools to make their lives easier through increased mobility. This will allow the conversations to continue and the relationships to build all day, every day. Will this mean stronger, better relationships? Maybe. Only time will tell.

I am certain of two things, though. One: Everything about technology and social media interaction will continue to evolve. For those of us who are early adopters, we gain great insights into how that evolution may occur. Two: My friends, who don’t understand Twitter today, won’t understand the next step in the evolution either. Unfortunately, they will find themselves farther and farther behind; not just with technology, but also in their social interactions with others as many of their friends more readily adopt the changing way we communicate as a culture.

By know, we all should realize that, “this, too, will change.” Technology evolves. Communication methods evolve. Yet, people do not really evolve as much as they adapt. Either they drive such change by adopting, engaging, and sharing or they simply adapt to such change reluctantly in fear of being passed by.

Which will you do?

Thanks to @heathervescent with whom I had a Twitter conversation about emerging technology, which was the spark for this blog post.

BlackBerry® is a registered trademark of Research In Motion Limited.

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Post tags: answer emails, BlackBerry, blog entry, business, business dealings, business trips, cannot, cell, Cultural Change, early adopter, Facebook, intense curiosity, Mobile Technology, new tools, PC. Twitter, Roger, something, Technology, time, time waster, today, tweets, Twitter

“I don’t know whether I’m loyal, or lazy,” tweeted a friend of mine last week as his eye doctor ran more than 30 minutes behind. He seemed as frustrated with himself for not finding another provider, as he was with his doctor for wasting his time. Granted, there may have been a patient emergency or an unforeseen situation with that caused the delay; yet, others with appointments were expected to endure without being alerted to the problem and given the option to reschedule. While this particular situation is most prevalent with professional appointments, we all know of similar situations that occur in our own businesses and organizations.

Customer loyalty, like friendship, is built on a mutual understanding and acceptance of one another. At minimum, the relationship between the customer and the organization requires:

> Honesty

> Integrity

> Consideration

> Empathy

> Respect

> Humor (maybe not required, but certainly helpful)

While the customer easily gives these qualities, organizations with which they purport to have a relationship often do not reciprocate. From an organization’s perspective, a customer relationship is all too often built only on revenue generated. Specifically, the value of that relationship is measured on the number of purchases made and the size of those purchases. When a customer recognizes that their loyalty is measured only by these factors, such as with supermarket loyalty programs, they become fickle about the relationship. Laziness creeps in and whoever has the best sale prices or is closest to home gains the customer’s favor. When this happens, the relationship becomes a commodity for the customer, as it is already for the organization.

To prevent customer laziness, organizations need to think of customers more as friends, than as dollar signs. Put yourself in your customers’ shoes and ask yourself the same questions you might ask about your friendships, for example:

Do my customers…

1. Feel like they’re “my only customer” whenever we get together?

2. Talk about our relationship in a positive light with their other friends?

3. Tell me when I’ve done something wrong and give me an opportunity to make it right?

4. Share their lives and stories with me because they know I care about them and the relationship?

5. Count on me to deliver whenever they’re in need?

6. Desire to spend more time with me and take every opportunity to do so—wherever I may be?

7. Show passion about our relationship (brand)?

8. Believe that every action I take is in their best interests?

9. Feel that they’re desired?

10. See tangible and long-term value our relationship?

If you can truthfully answer yes to most of these questions, your customer relationships—and long-term customer loyalty—are in good shape. If not, you have some work to do.

Do keep in mind social media tools make it very easy to build and cultivate customer loyalty today. You can connect anywhere at any time and have a meaningful conversation with customers. There’s really no excuse for not putting time and effort into building these relationships. Not doing so will make it easy for the customer to decide if he’s really loyal, or just lazy.

Can you afford lazy customers? No, I didn’t think so.

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Post tags: acceptance, CRM, Customer, Customer Loyalty, customer relationship, delay, doctor, emergency, eye, Feel, friend, friendship, Granted, Honesty, laziness, loyalty, mine, opportunity, option, organization, patient, problem, provider, relationship, situation, Social Media, supermarket loyalty, time, Twitter, understanding, Value, week

I just finished reading, The Fourth Turning, by William Strauss and Neil Howe. In the book, they apply their generational theories to the cycles of history and predict that we are now in the “Fourth Turning.”  They describe it like this:

The Fourth Turning is a Crisis, a decisive era of secular upheaval, when the values of regime propel the replacement of the old civic order with a new one.

Strauss and Howe go on to say that each Turning has its own mood. During the Fourth Turning, they suggest that we will see families being strengthened, gender roles widening, ideals championed, and new institutions founded. We will become practical as a culture, our social priority will be building our community, and our greatest sense of need will be to fix the world beyond ourselves.

It sounds like the world we are living in now, doesn’t it?

If you are familiar with Strauss and Howe’s previous book, Generations: The History of America’s Future, 1584 to 2069, you know that the last Hero (or civic-focused) generation is known to most as the Greatest Generation, while the current Hero generation are the Millennial’s. The current Hero Generation has brought us Facebook, Twitter, and other online social networks. This generation is pushing to fix the problems of America and regularly puts their words into action at the voting booth. This generation strives to make a difference in the world and consistently delivers on their promises.

As the Millennials move into adulthood, they are merging their needs, values, and expectations into every detail of their lives. They need to feel that they are making a difference. They value consensus, relationships, and family. They hold the government, institutions, corporations, their peers, society, and themselves to higher standards than any other generation. Along the way, their idealism is resetting the expectations not just for their own generation, but also for all.

Organizations and corporations must take note of these changes because it is redefining the way success will be measured as it relates to the customer, member, or donor. Consider these points critical for the future survival of nearly every business and organization:

1.  Be trustworthy in all your encounters. You have to earn the business.
2.  Be transparent in all your actions. You must walk the talk.
3.  Stand for something bigger than profits. Greed is no longer acceptable.
4.  Make a difference in the world around you. You must care and show it.
5.  Build meaningful relationships with your customers. People like to do business with those they like.
6.  Ask for input from constituents and use what you are given. Collaboration and consensus means everything.

While these points could essentially be summed up into the Golden Rule, they are often lost in the business world. The Millennials are reminding us all that there is something larger than ourselves that needs tending. This is the attitude that must prevail in our businesses, our colleges, our communities, and our government.

If Millenials are successful in driving change in this Fourth Turning, our world will undoubtedly change for the better. And, they will have earned the label of Hero.

© Dave for Dave Harkins' Blog, 2009. | Permalink | One comment | Add to del.icio.us
Post tags: Cultural Change, Demographics, Millennials

Hearing is a funny thing.

One can hear, but not be listening.  One can listen, but not really hear what’s being said.  Either way, the conversation goes on just the same.  People are talking to you and about you, but you may not be making the connection that its “you” who is the topic of the conversation.  Take it from a guy who has had the benefit of hearing impairment most of his adult life.

Those same conversations go on about organizations and brands every day.  Everyone talks, but few organizations really listen.  It seems to me that most organizations are “hearing or listening impaired,” and the older the organization the worse the problem.  Granted, most organizations try to hear what is being said, but some are still using an old-fashioned hearing aid (ear trumpet).  There are others who let their hearing aid batteries weaken, or worst of all, still others have removed their hearing aids because they don’t like what their hearing.

Don’t believe me?  Do you work for any of these organizations?

The Ear Trumpets
Organizations listening to customers with the ear trumpet funnel many voices down a long tube where only the loudest are heard.  In an organization, this is like sending all the calls to “customer service” or the “help desk.”  The ear trumpet solution works poorly for the hearing impaired and even worse for organizations.  Think about it: just because the organization is not hearing the softer voices doesn’t mean friends, neighbors, and competitors aren’t.

The Weak Batteries
Those organizations that operate on weak batter power for their hearing device miss critical elements of the conversation with their customers.  The conversations continue, but the organization picks up only bits and pieces—like a conversation with your mom on a bad mobile phone connection.  She keeps talking; unfortunately, you’ve dropped enough of what she is saying that don’t realize you’ve been offered a free trip to the Bahamas…  and declined to go.  The same thing happens with customers when an organization only hears parts of the conversation—good opportunities are lost.

The Not Listenings
The organization that removes its hearing device, or has decided not to buy one in the first place, does not want to participate in the conversation with its customers.  It would rather yell at a customer and hope a few want what it’s selling, than open up a conversation with the customer about needs, values, and expectations.  Who likes to be yelled at all the time?  Not me, and I’ll bet not you.  Aside from great products and exceptional service, all customers really want is to be heard.

Social media tools help level the playing field for organizations that are “hearing impaired.”  It’s like having a pair of super-charged, digital hearing aids that help you amplify just those frequencies you need to hear.  This ability to listen, hear and actively engage in conversations 24/7 allow your organization unbelievable opportunities to learn from your customers, correct your mistakes, and build a loyal following.

Now, turn on those hearing aids and engage in conversation.  You’ll be surprised what you will learn when you start listening again.

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Post tags: Brand conversations, Organizational Change, Social Media, Web 2.0

Using just 140 characters, folks are striking up conversations around world on a variety of topics and in “real time” with Twitter.  If you are not already familiar with the tool, essentially users get a “platform” from which to speak about their passion (similar to a blog) that occurs at the speed of instant messaging.  Like blogs, it creates a medium where everyone has a voice; like instant messaging, it is sometimes irreverent. (If you’re not familiar with Twitter, Fortune Magazine published an informative article in August 2008, The true meaning of Twitter.)

Once you have a Twitter account you’ll need to “follow” someone to get the most out of the tool.  This means you’ll be listening (or reading) to what that person has to say.  As an information junkie, I follow those who talk about things that interest me.  Although, I have to admit following a hundred or so simultaneous conversations can sometimes be daunting.  Nonetheless I learn new things daily, I’ve found a great breeding ground for new things to think about, and I find new sources of information relevant to my interests.  Because these topics interest me, I can also contribute something to these conversations.

On the flip side, some may desire to follow you and here’s where it gets a little sticky.  Not everyone thinks the way I do and follow people who engage in topics of interest.  Some believe that it is the size of the network that’s important.  I would like to think the general idea behind Twitter was “relevant conversations” with others; therefore the size of your network would be somewhat limited by those with similar interests.  Unfortunately, like rabid “network marketers” some desire to follow solely so someone in your network may see them and investigate the latest “business opportunity” being pitched or product sold.  Those people are simply trying to increase the size of their network.  I dislike this approach, as it seems to me that the “follow” is somehow disingenuous.

Consider this: When you met your neighbor the first time, did you work to find common interests, or were you pitched all-purpose, non-toxic cleaning solutions that he or she happened to be selling?  I dislike the latter and will avoid that neighbor for a while.

The same is true online, and especially with Twitter.  It’s very easy to “unfollow” someone.  You can also block your updates, as I do, so that you must approve everyone who follows you.  I like this because it gives me the opportunity to manage my “implied endorsement” of those who follow me.  I review every website and Twitter stream of every follow request, and make a conscious decision as to the “fit.”  If there is not a fit, I decline.

Social media tools are specifically designed to build conversations.  Think about it like talking with your neighbor across the back fence, only you’re talking across Internet.  Shared ideas and interests are paramount to building personal credibility and friendships.  Twitter and other online tools can accelerate credibility building, but they can destroy it just as quickly.

For me Twitter is not about building a large, non-interested following.  It’s a waste of everyone’s time and erodes credibility of the followers. I hope those I follow feel the same way.

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Post tags: Social Media, Twitter, Web 2.0

Most people think change in an organization means doing something different just for the sake of doing something different. They are wrong, of course, but their thinking is not unfounded. They’re just victims of “bad change initiatives.” Too many organizations try to drive change through elaborate processes and procedures, often structured by large consulting firms that never have to implement their own plans. Consequently, these firms rarely take the time to understand what is being done, let alone why it is being done. Their view is strategic, and often take the built on the goal to align the organization with a “best practice.” However, best practices need to be adapted for every organizational culture and this is almost never done. It’s no wonder, “The more things change, the more things stay the same,” becomes a popular mantra.

I could tell you everything in this post that a top tier consulting firm would tell you to do, including, “get top management support,” if you want to create a change initiative. I’m not going to do this not because it doesn’t work—sometimes it does. My experience is real change and innovation within an organization doesn’t begin at the top because those at this level only see the symptoms, not the cause. Change and innovation is tactical, not strategic. Those closest to the cause are the ones who can best overcome the challenges and begin the change necessary for innovation. Unfortunately, these folks often don’t feel empowered to do so.

So, let this serve as empowerment to the individual: Be radical. Change and innovation in the organization begins with you, the individual, right now. Today. Here’s how to get the ball rolling:

> Start with things you can control. It’s easier to start small and change the things that are within your control. Look around. There are many, many things that are in you do every day that could benefit from improvements. Make those improvements. This kind of change and innovation is infectious and will flow throughout your organization faster than you might imagine.

> Look for things to “blow up“. Approach everything with the mindset that it needs to fixed. This doesn’t mean it really needs fixing, or that you need to be the one to fix it, but it forces you to look for the flaws. When the flaws outnumber the benefits, destroy it. The hard reality is that sometimes the only way make change is to blow it up and start over from scratch. Don’t be afraid to push the red button when you need to do so. This is often the origin of true innovation.

> Stretch the chain. Every day you should stretch “the chain” (people, processes, technology, etc.) until you find the weak links. Break them, put the chain back together, and stretch again tomorrow. When you find you are unable to break a link, take a break and look back on your accomplishment. These successes will help you build your credibility as change agent. However, don’t forget to come back and stretch the chain again later. No link is failsafe for very long.

> Cross the cultural minefield. Every organization has some approaches or things that are sacred. Before you start, know if the change you are attempting is going to put you at odds with the culture. You should know the dangers going in, but it’s likely you will still need to trip a few mines, purposefully. Trip the mines when it is the right thing to do without regard to fallout, but know that you may sustain injuries. Tripping the mines and slaughtering sacred cows is a messy job.

> Grow a thick skin. If you really want to be a successful change agent, you cannot worry about making friends while driving change and innovation. This is not to say you have to be mean or insensitive. Most people just hate change, not you, and will not hesitate to share their feelings. Some may even try to retaliate with a little political sabotage. Don’t take it personally. You’ll know you’re on the right track when people begin to complain about what you’re doing. Be prepared for the fall-out.

Please know that this is an individual approach and not a “team approach” to driving innovation. I have never believed that teams are successful leading change or innovation. “Innovation team” seems like an oxymoron to me. Even team of radicals will fail if they are forced to work too closely together. In my experience, the most successful innovation happens when individuals are motivated to make things better. An organization’s success with change and innovation is rooted in the personal initiatives of individual radicals who desire to make a difference.

To innovate and change an organization, find the radicals who strive to make a difference. Then turn them loose to do what they do best—stir things up.

© Dave for Dave Harkins' Blog, 2009. | Permalink | No comment | Add to del.icio.us
Post tags: Change Management, Innovation