Friday, June 8, 2012

The Key to Social Media Success Within Organizations MIT Sloan Management Review 54, 1 (2012) 73-81

Many organizations have started using social media (a.k.a. Enterprise 2.0) tools internally to interact with their employees. A number of companies, including Best Buy and Dell, have succeeded in using social media internally to meet important objectives, such as reducing their costs, increasing revenues or stimulating innovation. However, many companies have either stayed away from using social media tools internally or failed to see beneficial results from their use within their organization. In a 2010 survey we conducted of 1,060 global executives, only about 50% said that their companies had adopted social media initiatives within theirorganizations; of those, about 60% reported that social media had positive effects on their company’s internal communications. Thus, only about 30% of executives whom we surveyed work for companies that have both adopted internal use of social media and seen positive effects on the company’s internal communications as a result. In our qualitative investigation of 34 companies’ social media experience, we found a similar dichotomy.