Published on October 23, 2008
There Goes Everybody Focusing the Power of People and Today’s Network on Opportunity Dion Hinchcliffe
The network is a big place today • All your customers • All your competitors • Only a few proven strategies for long-term competitive advantage
We have a few proven business models now
• Mostly around what we call “2.0” • Peer production • Owning your classes of data online • Using new distribution models to leverage the Web as your platform • Social systems • A few others
Most of these strategies are about building a potent network effect
The biggest challenge, however, is in changing our thinking
The major shifts • In who creates value (the network does) • How much control we have over our businesses • How intellectual property works • Great increases in transparency and openness • Open supply chains, community-based processes and relationships
2.0 models are transforming everything • Product Development • Marketing and Advertising • Operations • Customer Service
The network is proving to be the best solution for many classes of problems
So how do we re-imagine our products and services for the 2.0 era?
Challenges to Succeeding with 2.0 • Innovator’s Dilemma • “How do we disrupt ourselves before our competition does?” • Not-Invented Here • Overly fearful of failure • Deeply ingrained 1.0 environment • Low level of 2.0 competency
What we often see in the marketplace today • Too many copy-cat products • Failure of imagination and courage • 2.0 concepts as an after-thought or tacked on as a “checklist” item • Companies that pay lip service but are having trouble or unwilling to make 2.0 changes
The 1.0 world is having its own problems • The time is right for change now more than ever before • We all have to learn how to adapt quickly to new marketplace realities • Something that the (successful parts) of network have been doing for a long time
We now have effective lenses through which to look at opportunities online
• Push to pull systems • Web 2.0 models • New modes of software, platforms, and architectures • Productivity-Oriented Platforms • Web-Oriented Architecture • New Distribution Models
The new Web 2.0 era distribution Number of Practitioners models remain largely untapped Semantic Web/Web 3.0 Social Network Apps Web Widgets Open APIs Web 2.0 Apps Syndication Web Sites Potential Reach Power and Network Effect (Lowest Cost Per Customer/Partner)
It’s time to change our DNA • Moving from the 20th century towards 21st century businesses • Deeply understanding the network and its profound potential for creating growth and building value • Putting 2.0 into the core of our lines of business
This will be hard
But the rewards are considerable • Products and services that thrive • Successful transition to a new marketplace • Attaining of new, sustainable competitive advantage • Resilience to future change and ongoing market evolution
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