asae technology conference keynote

Open Leadership: How Social Technology Can Transform How You Lead

Charlene LiAltimeter GroupDecember 14, 2010Twitter: @charleneli

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OUT of CONTROL

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DellOutlet drives sales with Twitter6

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It’s about RELATIONSHIPS

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How to give up control

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but still be in command

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STRATEGY

LEADERSHIP

PREPAREDNESS

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STRATEGY

LEADERSHIP

PREPAREDNESS

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Four goals define your Open Strategy

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Learn with monitoring tools12

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Start and drive conversations13

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Make support strategic14

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Drive innovation into the organization

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STRATEGY

LEADERSHIP

PREPAREDNESS

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STRATEGY

LEADERSHIP

PREPAREDNESS

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How Best Buy Created a Transformation

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10 elements of openness21

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How open are you? How open do you need to be?

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Skills of successful Open Leaders

Ed TerpeningWells Fargo

Lovisa WilliamsUS Dept. of State

Authentic Transparent Disciplined

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Resilient Removes barriers Influences

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Transparency came slowly but surely to Wells Fargo

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March 2006

January 2009

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Discipline led to results at Dept. of State

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Started with clear social media policy.

Reached out to leaders with the greatest need – embassy staff.

Jakarta embassy has ~150,000 fans on Facebook.

STRATEGY

LEADERSHIP

PREPAREDNESS

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STRATEGY

LEADERSHIP

PREPAREDNESS

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#1 Create a Culture of Sharing28

Open leaders make Sharing a Habit

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TurboTax “programmed” sharing30

Ensures 85% employee

participation in community forums

#2 Discipline is Needed to Succeed

Can you add value?

Evaluate the

purpose

Respond in kind & share

Thank the person

Unhappy Customer?

DedicatedComplainer

?

Comedian Want-to-

Be?

NegativePositive

Yes No

Do you want to

respond?

No Response

No

Yes

Take reasonable action to fix issue and let customer know action taken

Are the facts

correct?

Gently correct the facts

No

No

No

Yes

Are the facts

correct?

Does customer need/deserve

more info?

Yes

Explain what is being done to

correct the issue.

Yes

Is the problem

being fixed?

Yes

Let post stand and monitor.

No

Yes

NoYes

Yes

Assess the message

Adapted from US Air Force Comment Policy

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Conduct a readiness assessment32

Ideally, you should be at

“4.0” for launch.

Area of opportunity.

#3 Ask the Right Questions about Value

“We tend to overvalue the things we

can measure, and undervalue the

things we cannot.”

- John Hayes, CMO of American

Express

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The new lifetime value calculation

+ Value of purchases- Cost of acquisition

____________________

= Customer lifetime value

• Percent that refer• Size of their networks• Percent of referred

people who purchase• Value of purchases

• Percent that provide support

• Frequency and value of the support

+ Value of new customers from referrals

+ Value of support+ Value of ideas

+ Value of insights

Spreadsheets for 15 year lifetime value calculation available at charleneli.com/resources

No relationships are perfect

Google’s mantra: “Fail fast, fail

smart”

#4 Prepare for Failure

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Create

Sandbox

Covenants

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STRATEGY

LEADERSHIP

PREPAREDNESS

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AND STILL BE IN COMMANDGive Up Control

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© 2010 Altimeter Group

Charlene Li

charlene@altimetergroup.com

charleneli.com/blog

Twitter: charleneli

For slides, send an email to

slides@altimetergroup.com

For more information & to buy the

book

visit open-leadership.com

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