Technology and Organizations

Many management books (for example, The First 90 Days, p. 45) suggest that you have structured interviews with your direct reports when you first join a new organization. Eugene Lee followed this advice when he become CEO 2.0 (that’s how Ross Mayfield, one of Socialtext’s founders, advertised the job on LinkedIn) for the collaboration/Enterprise 2.0 platform provider Socialtext. As suggested, he wrote down a set of questions like: how long have you been here, what are you most proud of in your career so far, what will you be most proud of having done when you leave Socialtext?

What’s unique is how this process evolved. He’d scheduled these one-on-one meetings for 30 minutes each and knew that wasn’t much time for people to be thoughtful about their responses — so he posted the list of questions to the company wiki. (A wiki is a website where everyone in the company can post and edit information – and one of Socialtext’s main products.) The idea was to give people a chance to think about the questions before their face-to-face meetings. Eugene didn’t anticipate that given the company’s culture and comfort with social software, like this wiki, that people would just start answering — on the wiki for all to see.

Part of this picture is that Eugene hadn’t come from companies with this kind of transparency. In fact, few companies today are this comfortable with public posts and discussions, and I’m guessing that Cisco and Adobe weren’t during Eugene’s tenure. This public response was a surprise to Eugene: unanticipated, and somewhat unnerving (though he notes that for the Socialtext crew, they wouldn’t have thought of doing it any other way). But here’s the key: Eugene has systems savvy and quickly saw the value of the approach. He didn’t immediately post a recall. He certainly didn’t delete the posts. Instead, he added his own responses.

The wiki posts ended up creating the vision statement (especially the question about what will you be most proud of having done when you leave). There was even a dynamic in that as people were contributing their thoughts, others were “gardening the wiki” — making it a well designed document.

The whole process become something Eugene described as “Getting to Know You 2.0.” Sounds like a beautiful Silicon Valley leadership story. At the time, Eugene notes that it actually felt:

So scary. I’d lost control of the process. How powerful to let that control go…. When you hit a tough spot and need people to do something hard… the trust is enormous… and we make software that helps that.

As a result of the process he was able to prepare a presentation covering: memes, themes, dreams, & seams… what was common, what the aspirations were, and where there were gaps. Getting to Know You 2.0 was a success. It took a combination of technology (the Socialtext platform), organization (a way of working that assumed openness and transparency), and people dimensions (Eugene being accepting of risk, even at this critical juncture with the new company). TOP Management.

This was 2007. Jump forward to the middle of 2009. Eugene got a copy of the book Transparency: How Leaders Create a Culture of Candor. This book, and his Getting to Know You 2.0 story have become part of how he presents Socialtext’s products to other senior leaders. …and sometimes the transition is stunning.

He recalled a recent sales call with a C-level executive at a large, traditional (the kind of place where the conference room’s mahogany cabinets had mahogany handles), East Coast organization. Some departments in the organization had been using Socialtext social software products and now the question was whether the platform should be offered to the whole company. The meeting was expected to be a private one with the exec and Eugene. Instead, the exec’s staff crashed the meeting and were joined by a top IT exec. Possibly rough meeting, and started out very quietly. The C-level didn’t say a word for 40 minutes, but the end of the presentation he says, “I think we should do this.” The IT exec posed concerns and implied that while this might be good for a California company… “what problem will it solve? Implementations fail when there isn’t a problem being solved.” Pause. The C-level then says “Employee engagement, cross department collaboration.” Maybe this firm’s conference rooms were formal, but this gentleman understood the value of transparency in modern organizations.

Eugene says this story has played out similarly in multiple firms. This transition to transparency is happening and technology is helping to manage the process. He sees this as a leadership issue, the technology is only enabling the interactions. Leaders need to consider:

What does it mean to you, the leader, in terms of not killing transparency? How open book is appropriate? How cross functionally transparent do you really want the culture to be?

Technology, organizations, and people — designed together — TOP Management.

Additional material from my interview with Eugene:
Budget as a Trigger for TOP Management: Examples from Eugene Lee of Socialtext

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Eugene Lee is CEO of collaboration/Enterprise 2.0 platform provider Socialtext. His resume includes leadership roles at Adobe, Cisco, and the co-founding of Beyond, Inc. He was kind enough to provide me with several examples of how he’s been able to develop Systems Savvy and how this plays out as TOP Management at Socialtext.

I’m going to start with an example from earlier in his career that may be the easiest for all of us to apply. (I look forward to sharing his “Getting to Know You 2.0″ story in the next week or so.) Eugene had just joined Cisco as VP of marketing for a new business line focused on SMEs [small and medium sized enterprises] and was in one of his first staff meetings with the finance director and other leaders. The presentation went into great detail around financial goals, drill-down goals and the like. Eugene turned to the controller who was helping him through this on-boarding process and asked for more explanation:

The controller was going through the mechanics of headcount, revenue, degrees of freedom, budget, variable marketing spend, allocation stuff… took me through all the lines of a vast spreadsheet. I asked “where’s my IT [information technology] allocation?” “Well, we don’t do that,” says the controller. “Everything is client funded, you decide what you’re going to spend on IT.” At first I didn’t understand.

The major “a ah” was when Eugene realized what it meant in this context that “everything is client funded.” It meant that he had a budget and it was up to him to make choices — across technology, organizations, and people — regarding how he was going to spend the money. This approach created a commitment well beyond that he would expect if there were just an “IT allocation.” It was all about getting the most from your dollar, and getting the most from your dollar doesn’t come from spending on IT independent of the rest of your organizational actions. It has to be a systems approach. It has to be an integration of the technology, the organization, and the people. The budgeting system was a trigger for TOP Management. If you separate out your budget allocations, people will think about the components independently. If instead you budget for a system — you get people to think and design in an integrative way.

I made systems thinking a major part of anything my team did. Raised the bar on what qualified as a fundable program. [Systems thinking] became a theme — and then how we could teach small business to do it at their scale.

The budgeting system also pushed groups across Cisco to collaborate:

Nobody had enough to make a nirvana system on their own, so people would pool resources and you would get alignment across stakeholders. Where the budget comes from plays into creating the conditions, part and parcel, of how the business gets driven.

Eugene said he saw these systems ideas further solidified in how Cisco handled his IT support. The IT Vice President came over to see how he could help. IT: “We need to hire somebody to support your group.” Eugene: “Cool. Who do you have in mind….” IT: “No, you’re going to hire somebody.” The budget money came from IT, but the decisions came from Eugene’s group and the new IT staffer sat (and ate lunch) with Eugene’s team. This “made such a difference. She sat in my building, came to our staff meetings. She could efficiently do the research around what would work and what wouldn’t because she understood the work that needed to get done.”

As a management professor who teaches systems thinking (and hopefully, savvy) in the context of organizational design, these examples sparkled. Cisco had built a budgeting system that clearly supported frugal and effective innovation. Eugene saw it as a way to leverage his resources and this insight served as an effective trigger in his development of systems savvy.

We can all do this — from high corporate finance to departmental budgets — we can use the power of the purse to encourage people to take a systems approach. Managing technology, organizations, and people as a system is likely to be a much more efficient, and effective!, use of limited funds.

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I don’t generally make futurist-style statements, but the last two days are begging for one: A big piece of Web 3.0 is going to be the transition from “Live in your In-Box” to “Live in your Browser.” The quote “I live in my in-box” came from a participant in a workshop I co-presented with Scott Schnaars of Socialtext. We were talking about the value and methods of moving from an email centric workflow to one more focused on portals and collaboration workspaces (building from my Kill Email post). The idea isn’t that the work we do while “in our in-box” isn’t valuable — it is real work: we are often communicating about projects, ideas, etc. The idea is that the in-box work carries with it more overhead than the same work would if it were done within a project workspace.

Moving into your browser may be a more efficient place to be, and Gen Y may be there ahead of us. Gen Y doesn’t have to unlearn our (Baby Boomer) email habits.

The other event that pushed me to join the futurists was a discussion I had with Caleb Carter, CEO and Founder of ExistInts. ExistInts joins Google, Facebook, and many others in trying to provide you with a new web home. ExistInts adds a local flavor, while also striving to cross work and social boundaries — smart as many of us have woven our work and social networks and activities together already. Having a “home” that is built to support that model makes sense.

The organizational question is what is the right level? Your social network does provide you work value, and vice versa. These are going to be tied together in our workspace. Should organizations be building portal homes at a company level or at the level of the project? Should individuals be building their own portal homes with rooms for work and play?

http://www.flickr.com/photos/nwseaport/ / CC BY 2.0

I feel like we are at the stage of construction where the ground has been cleared and the materials are beginning to arrive. Google is gearing up (pun intended) with Google Wave and the Chrome OS:

We designed Google Chrome for people who live on the web — searching for information, checking email, catching up on the news, shopping or just staying in touch with friends. However, the operating systems that browsers run on were designed in an era where there was no web. So today, we’re announcing a new project that’s a natural extension of Google Chrome — the Google Chrome Operating System. It’s our attempt to re-think what operating systems should be.

.. while smaller firms like Socialtext and ExistInts are providing purpose-built capabilities.

We all need to consider what’s going to make the best neighborhood and architecture for getting our work done. I’m sure it’s going to be in the browser. Have you already moved? In my case, I think I’ve moved, but haven’t completely unpacked. Email still makes up the majority of my work communication and my organization has not yet taken the big step to a web-based workflow. Suggestions appreciated from those of you who’ve moved, unpacked, and finished putting up your pictures.

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In a recent contribution to the Ideas Project, Ross Mayfield (founder of Socialtext) notes:

The big shift that we’re seeing in organizations that are leveraging social software thoroughly is this shift from a need-to-know to a need-to-share culture; the ability to increase productivity by the way that you’re coordinating your organization, in not just ways that are pre-subscribed, that are intelligently designed, but enabling them to emerge.

In the video, many of his examples focus on the signaling capability of micro-blogging tools like Twitter (or Socialtext Signals – an enterprise tool with security built in) — both for how such tools can support the fast pace of internal activities, and for keeping track of your brand and customers’ needs.

The organizations making this shift are more agile and can gain an augmentation to the hierarchy as knowledge flows more directly to where it is needed, at less cost to those with the answers.

Ross also acknowledges the power of learning from Gen Y (see my thoughts here), “There are also generational shifts that most people are aware of, not just the kids who grew up doing their homework on Facebook; we called that cheating when they were in school. They come to the work force, demand similar tools, and we call it collaboration.” Gen Y, and even some of of the rest of us, understand that knowledge can be easily shared given modern tools and actively seeks effective strategies.

Case in point: A current MBA-student of the Stanford Graduate School of Business demo’d a tool she’s building based on the needs of students studying together — apart. She noted that current distributed forms of work make it harder to just ask a friend for homework help, yet intelligent tools could provide support — without becoming too intrusive.

This is exactly the balancing act we need in organizations. We need seamless response to our information needs, without breaking into the immersive performance of our colleagues. While I can’t point to any perfect solutions yet (examples appreciated if you know of some, or even some with just slight imperfections), both Ross and the Stanford entrepreneur are illustrating clear options.

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Yes, I’m a fan of Socialtext. Scott Schnaars (Senior Sales Exec at Socialtext) and I are doing a workshop on August 25 inspired by my Kill Email post. More formally titled, Value From Communication & Collaboration Tools: Put Email in its Place!, we provide frameworks and case examples of how to engage the power of collaboration and social networking in real-world situations. This isn’t about the one particular tool, but rather an approach to managing collaboration in your firm. Join us!

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