Home » Finding the Value in Social Business - Journal Article by Gerald C. Kane
Finding the Value in Social Business - Journal Article Gerald C. Kane

Finding the Value in Social Business - Journal Article

Gerald C. Kane

Published April 1st 2014
ISBN :
Kindle Edition
15 pages
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Companies are starting to derive real value from social business, but this value is concentrated most strongly in companies that have reached a certain level of sophistication in relation to their social business initiatives, which the authors referMoreCompanies are starting to derive real value from social business, but this value is concentrated most strongly in companies that have reached a certain level of sophistication in relation to their social business initiatives, which the authors refer to as social business maturity. They define “social business” broadly to include activities that use social media, social software and technology-based social networks to enable connections between people, information and assets. These activities may be internally focused within the enterprise or externally focused toward customers, suppliers and partners.MIT Sloan Management Review and Deloitte have been exploring the impact of social media on business for the past three years through annual surveys, data analysis and interviews with executives and academics. The most recent survey, conducted in the Fall of 2013, explored the issue of whether companies are deriving value from their social business initiatives. They surveyed more than 4,800 respondents at multiple levels of different types of organizations around the world.The results suggest that negative views on the value of social business for companies may have been premature. Sixty-two percent of managers surveyed now report that their social business initiatives are at least somewhat successful at meeting their stated business objectives. Furthermore, 63% of respondents report that social business has positively affected business outcomes at their company, and 59% of respondents in multinational companies report that social business helps them operate across geographies.Perhaps equally compelling is the extent to which individual employees indicate the value of social business to their daily work. A surprising 57% of respondents say that it is at least somewhat important for them to work for companies with mature social business practices, while 46% of respondents say that social business is at least somewhat important for decision making in their day-to-day role.These results lead the authors to conclude that, at the most basic level, many companies are deriving value from their social business initiatives. Nevertheless, a deeper look at the findings shows that companies are not equal in their ability to derive value from social business. Article includes 3 figures.