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May
21
2012

"Organizations that allow employees to use their personal devices for work purposes reap the benefits of a more engaged workforce, particularly among the younger generation. But many of those same organizations are trying to simplify and consolidate the systems they’re running in order to save money on infrastructure and software that helps manage mobile devices, and supporting BYOD creates additional, often unseen costs."

iT byod costs

  • There are several advantages to adopting BYOD policies, most important of which is making the company a more attractive place to work
  • . Now, instead of having to manage a single device–for instance, establishing security policies like strong password protection, uploading the appropriate applications based on the user’s role in the company, or developing applications based on a single operating system–IT departments have to manage several different platforms for Apple iPads and iPhones or Microsoft and Android based devices. Even Google’s Android operating system has differences from one device manufacturer to another.
  • 3 more annotation(s)...
Apr
4
2012

"In many companies, the relationship between IT and business leaders is a very troubled marriage indeed. Miscommunication is rife, leaving executives struggling to figure out what's working for the company, what's not, and how to improve the situation. Can a marriage like this be saved?"

IT business costs performance riskmanagement accountability

  • The first step in fixing the situation was to understand exactly what IT costs and performance really were, not just what they seemed to be.
  • The key in bridging the gap is for IT leaders to explain clearly the reasoning behind saying "no." If they give the business side enough insight, future requests might even be more reasonable.
Feb
20
2012

"We live in a world of mounting performance pressure. Our Shift Index reveals that return on assets for all public companies in the US has eroded by 75% since 1965. Companies clearly are failing to respond effectively to these mounting pressures. If we hope to turn this around, we need to step back and take a systematic look at the performance levers that drive these results and question the approaches of the past. "

performance measurement metrics crm socialcrm profit pull KPIs innovation loyalty customerloyalty pareto costs costcutting

  • Most businesses can be understood as bundle of three core operating processes, each driven by a unique performance lever. These three operating processes are: customer relationship management, product innovation and commercialization and infrastructure operation
  • In most industries, customer loyalty is eroding, leading to a significant reduction of the average life of a customer. To make matters worse, margins are eroding as well, diminishing the profit generated per year of a customer relationship. In many industries, the cost of customer acquisition is also rising
  • 11 more annotation(s)...
Feb
13
2012

"Great service is always a differentiator, even more so when people are hurting. The service companies that thrived coming out of the Great Depression — think Macy's and Disney — figured out how to take care of their customers in a climate of fear and uncertainty. The fog of recession may be starting to lift, but most households and businesses are still feeling vulnerable today. History makes a compelling case that serving customers with integrity — delivering steadfast, predictable service quality — can translate into outsized loyalty and market share when the economy commits to a comeback. "

service performance costs

  • Underperform. It turns out winning service companies aren't great at everything. They're bad at some things, often very bad, but the pattern isn't random. It's tightly mapped to the priorities of their customers. Service leaders tend to over-deliver on the features their customers value most and under-deliver on the features their customers value least.
  • Streamline the back office. One way Zappos funds its legendary service is by relying on a very lean operation. Back-end cost savings get invested in front-end excellence, which means that shipping's free and a kind, competent Zappos employee has the cultural freedom to stay on the phone with you as long as you want
  • 2 more annotation(s)...
Nov
14
2011

"Employee turnover is a natural occurrence in the business world. But it can also be a costly one. As mentioned in previous posts, there are several areas that contribute to the high cost of employee turnover.

Let's look at where the first dollars are spent when an employee leaves and a company is suddenly faced with an empty position."

turnover humanresources costs management productivity knowledge

  • The cost of knowledge, skills and contacts the employee leaving is taking with them. Depending on how long the person was in the position, the experience and networking gained are sure to be incredible resources, resources the organization will have to calculate as lost.
  • The cost of losing customers. The employee leaving may take their customers with them which results in a loss of profit. Or it could cost the company more to try and retain those customers
Nov
4
2011

"The decision to purchase an enterprise software application is one that generally demands a variety of different views about benefits. Because with most enterprise systems – Enterprise 2.0 included – there are a variety of benefits:"

enterprise2.0 socialbusiness ROI benefits customersatisfaction agility innovation employeesatisfaction revenue costs costreduction collaboration

Sep
30
2011

"When companies go through boom times, they quite naturally take their eyes off costs. But to maintain profits when revenue goes downhill, most CEOs call for cost cutting. The scalpel comes out, and while it's necessary, it usually comes at a huge cost to employee morale."

costs costsavings costreduction costcutting sixsigma businessprocess organization finance

  • Big rounds of layoffs demoralize employees, drive out critical expertise, and put the organization on a downward spiral. Going through the traumatic experience of seeing friends leave and fearing for their jobs, few remaining employees believe their hard work and strong performance will save them.
  • More insidiously, right sizing departmental silos usually doesn't affect the cost structure permanently. Because the underlying work hasn't gone away, the fat creeps back. The cost reductions last only until everyone goes back to their old ways in a few years.
  • 3 more annotation(s)...
Jul
17
2011

"To find out, the folks over at ClickFox, a company specializing in customer experience analytics, conducted a survey to assess the potential cost savings from addressing customer service issues via social media, the impact of word of mouth influence in the social sphere, and the degree to which customers understand the tools currently available to them."

socialmedia customer customerservice costs crm socialcrm

  • They found 40.2% of customers who weren't able to get their issues resolved in a timely manner via social media then resorted to calling the company's toll-free number. ClickFox estimates each phone call to customer service can cost companies $15 or more--avoidable costs that can directly impact a company's bottom line.
  • "They need to be able to capture what happens during every interaction--to create a link between an anonymous Twitter user and their CRM system" Dekel added.
  • 1 more annotation(s)...

"Relationships drive business. Within the chaotic crush of interaction data coming off the Internet, smart mobile devices, Social Media, and Communities, is pure customer relationship gold. Three CRI (Customer Relationship Intelligence) metrics distill the gold—Relationship Value, the “effect” in relationship cause-and-effect; Interactions, the “cause;” and Variable Interaction Cost."

customer relationship costs interactions measurement management2.0 metrics Customerrelationshipintelligence customerrelationship communities

  • Customer retention is even more of a mystery--no one is in charge. And that is where the MONEY is! Some 80% of revenue comes from repeat business and referrals, only 20% comes from new customers typically.
  • 5 more annotation(s)...
  • Measure Management 2.0 with CRI for Real-Time Management/Operational Control/Profit | Management Innovation eXchange
  • Measure Management 2.0 with CRI for Real-Time Management/Operational Control/Profit | Management Innovation eXchange
  • Measure Management 2.0 with CRI for Real-Time Management/Operational Control/Profit | Management Innovation eXchange
Jul
7
2011

""No one here is hounding me for the ROI".



That’s the last sentence in "(Like) + (Retweet) = $$$?" an article from the July issue of FastCompany. The article is about the ROI of social media; from Likes, to Tweets, to contests to Social Business Software.



Here’s what I have to say about that quote: YIKES!



The article includes quotes from senior marketing executives from Audi, Home Depot and Sephora (who provided the one above), saying in essence that they have no idea about the value of their company's social media activities and investments. Worse yet, these executives indicate that no one is really asking them to demonstrate the ROI."

socialmedia ROI marketing business goals indicators costs socialbusiness enterprise2.0 valuecreation

  • This inability to show the ROI from marketing is a main reason why the average tenure of a CMO is under 24 months, which is less than half that of a typical CEO. 
  • Maybe the issue is we as marketers have forgotten how to do statistical correlations, don't get six sigma, can't be bothered with AB testing, or are not maniacal about numbers
  • 4 more annotation(s)...
Jun
13
2011

"But the smartphone revolution of the last three years has changed how mobile workers operate. Instead of IT departments being able to force a particular set of mobile solutions on the workforce, employees now expect to be able to use the smartphones -- and increasingly, iPads -- they bought for personal use."

BYOD IT security devices costs costsavings mobility mobilephones appstore

  • Managing devices. IT departments need to make sure their management tools can do things like enforce strong passwords and wipe data from lost devices.
  • Access to apps. Big enterprise software vendors like SAP are betting big on mobile access, but it's a work in progress: not all important corporate apps are easily accessible from mobile devices today. 
  • 3 more annotation(s)...
May
14
2011

"The modern business enterprise is easily defined. It has two particular characteristics: it contains many separate operating units and a hierarchy of executives. As a social innovation the modern enterprise was born when the volume of economic activities reached a level that made administrative coordination more efficient and more lucrative than market coordination.

Before the rise of the modern firm, the activities of small, often personally owned enterprises were enabled and constrained by market and price mechanisms."

socialmedia change organization internalization costs networking constraints coordination valuecreation ecosystem

  • The important innovation of the modern firm was to “internalize” activities by bringing many discrete components under one roof and under a system of coordination
  • The big idea behind industrial management was to purchase or set up units that were fit enough to operate as independent entities, but instead integrate them into one system.
  • 10 more annotation(s)...
May
2
2011

"One of the most difficult challenges companies face today is how to be more flexible and adaptive in a dynamic, volatile business environment. How do you build a company that can identify and capitalize on opportunities, navigate around risks and other challenges, and respond quickly to changes in the environment? How do you embed that kind of agility into the DNA of your company?

The answer is to distribute control in such a way that decisions can be made as quickly and as close to customers as possible. There is no way for people to respond and adapt quickly if they have to get permission before they can do anything."

adaptability control podularity pod empowerment value processes values rules behaviors scalability costs

  • If you want an adaptive company, you will need to unleash the creative forces in your organization, so people have the freedom to deliver value to customers and respond to their needs more dynamically. One way to do this is by enabling small, autonomous units that can act and react quickly and easily, without fear of disrupting other business activities – pods.
  • A pod is a small, autonomous unit that is enabled and empowered to deliver the things that customers value.
  • 10 more annotation(s)...
Dec
22
2010

"Canon France a organisé le 3 décembre 2010 pour la première fois une "journée sans mail" destinée à favoriser le bien être au travail. Saluons l'initiative qui a le mérite de reconnaître que la réception de nombreux emails peut-être facteur de stress, et qu'une politique RH de bien-être au travail doit aussi passer par la régulation de l'infobésité en entreprise.

Dans une étude publiée l'an dernier, l'entreprise Intel affichait déjà des chiffres préoccupants sur l'inflation informationnelle:

* Les salariés traitent entre 50 et 100 emails par jour, les dirigeants pouvant traiter jusqu'à 300 emails
* Le volume d'emails reçu nécessite en moyenne 4 heures par jour pour les traiter
* 30 % des emails sont inutiles"

email informationoverload infobesity canon intel stress wellbeing interruption interruptivity costs visibility

  • En moyenne, il est impossible de travailler plus de 12 minutes sans être interrompu, et l'interruption a un coût, humain... et financier.
  • Le management français assoit généralement son pouvoir sur la rétention d'informations et un fonctionnement en petit cercles de pouvoir : cette volonté de tout contrôler est souvent contre-productive face au déferlement d'informations. Elle n'est pas en mesure de canaliser les flux car elle possède une vision trop restrictive du travail en réseau.
  • 4 more annotation(s)...
Dec
15
2010

"I continue to be amazed that clients try to create a business case for a major, multi-million dollar project request at the eleventh hour. How can business and IT managers be so naïve? They know a business case is required."

accounting metrics businesscase operatingmetrics accountingmetrics costs costsaccounting

  •  

      Getting access to these business metrics requires engaging business people and typically their finance staff, too.  Harder to do, but it’s time well spent.  Consider conducting an interview where a business person highlights their key requirements, which are dutifully documented.  They rant about a particular process or system that is broken, and now is the time (during the first weeks of the project) to ask how much it is costing them and to ask them for supporting data.  Inform them right away that your ability to help them automate is dependent upon the financial data they provide. 

  • Even though every business and its auditors has adopted Generally Accepted Accounting Procedures (GAAP) for revenue reporting and tax purposes, internal cost accounting is completely different, and no standards exist.
Sep
24
2010

"The traditional methods for driving operational excellence in global organizations are not enough. The most effective organizations make smart use of employee networks to reduce costs, improve efficiency and spur innovation. "

networks socialnetworks costs costreduction efficiency innovation operations collaboration connectivity performance engagement report stakeholders alignment networkanalysis socialnetworkanalysis

  • CIOs often try to address these challenges by relying on the same managerial tools they use to pursue operational excellence: establishing well-defined roles, best practice processes and formal accountability structures.
  • The key to delivering both operational excellence and innovation is having networks of informal collaboration. Within IT organizations in large global companies, we have seen that innovative solutions often emerge unexpectedly through informal and unplanned interactions between individuals who see problems from different perspectives.
  • 5 more annotation(s)...
May
14
2010

"# The Entrepreneurial Scope Assessment Framework: This tool enables CIOs and other business executives to evaluate the magnitude of the opportunity for an entrepreneurial organization. It is a requisite assessment to understand the scope of the task facing IT, as well as other business units.
# The Strategic Change Road Map: This level-by-level tool provides a clear-cut assessment of the tasks that must be performed by an organization in moving from the current mind-set and behaviors of cutting costs to a mind-set that is entrepreneurial. It delineates today's situation, compared with the desired future and identifies the changes that will transform today's organization, infrastructure, processes and mind-sets into tomorrow's state."

gartner IT costreduction costs ITdepartment culture

Mar
21
2010

"Maslow’s Hierarchy of Enterprise 2.0 ROI

The decision to purchase an enterprise software application is one that generally demands a variety of different views about benefits. Because with most enterprise systems - Enterprise 2.0 included - there are a variety of benefits:"

enterprise2.0 hierarchyofneeds maslow ROI costs costreduction crm customersatisfaction employeesatisfaction collaboration innovation agility

  • maslow's hierarchy of enterprise 2.0 roi
  • Saving money is one of the easier ways for an enterprise decision-maker to justify an investment. The savings can more than offset the costs of a enterprise system. This correlates to Maslow's original hierarchy of physiological needs. The dollars saved cover the cost to purchase.
  • 7 more annotation(s)...
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