Jun 28, 2010

Shattering the Myths About Enterprise 2.0 - Summary

Article Reflection
Article: Shattering the Myths About Enterprise 2.0

This article talks about the benefits of Enterprise 2.0 and how companies can reap them if used correctly. Enterprise 2.0 is rather new and offers intangible benefits to a company and so more often than not, companies don't delve into in as they don't have direct monetary returns on the investment. Traditionally companies have always made investments only if there are tangible ROI. But as the article talks about it, there are significant benefits to Enterprise 2.0 if used correctly and companies do have the capability of incorporating Enterprise 2.0 in ways that can have substantial benefits to the company. The article specifically talks about 5 myths about Enterprise 2.0 .

E2.0's Risks Greatly Outweigh the Rewards:
The article presents some possible horror situations that stop companies from adopting Enterprise 2.0 efforts. Most of these risks exist in theory. But there are ways to lessen the chances of this. The article talks about four factors:
  1. Intranet attribution
  2. Sense of community
  3. Community leaders
  4. Appropriate Internet behaviour

The ROI of E2.0 Must Be Calculated in Monetary Terms
There is a need for a company to deeper it's goal by developing its intangible assets "notably its human, organizational, and information capital". Sadly most companies are focused heavily on the monetary returns on their investment which E2.0 doesn't really offer. "Intangible assets, such as knowledge and technology" have a bigger impact no doubt but they do not have direct effects in financial terms. Companies can benefit from E2.0 by focusing on

  1. Expected cost and timeline
  2. Possible benefits
  3. Expected footprint

There is a need to replace the ROI in monetary terms with the intangible benefits from E2.0

If We Build It, They Will Come
The biggest challenge in adopting E2.0 lies in drawing large masses of the target audience. That can be overcome by using "explicit recognition programs and incentives".

E2.0 Delivers Value Mainly by Helping Close Colleagues Work Better
E2.0 is valuable at all levels in a company. It is a ground up effort where everyone can access and share information. So it's a total myth that E2.0 delivers value by helping only close colleagues work better. In contrast it helps everyone across the board work together.

E2.0 Should Be Judged by the Information It Generates
All the information derived by E2.0 is comprehensive and of good quality. With E2.0, information can be captured at different levels in the process which makes it very valuable in decision making by executives. As the article points out there are two very valuable benefits to this. One, "the social connection is often the real benefit" and "the value of the platform's ability to convert potential ties into actual ones"

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