Florian Krueger

Posts Tagged ‘IT’

Buzz Alarm – Hype Notice – Social CRM – Truth or Fiction?

In 2.0, CRM, Management on October 30, 2009 at 9:21 pm

First of all THANKS. Thanks to the SugarCRM guys and Larry Augustin, for hosting an open-source-community event and for inviting people with real nice catering and the lot, at a time where many old-school companies wouldn’t even want to pay for a cup of coffee.

Larry Augustin & Florian Krueger

Well, hang on – maybe it is not despite the fact that SugarCRM has an open-source community -that they can afford things like that- but because of it? Maybe open-source is simply the model of the future?
I’m convinced that this is the case. IP is no property any longer, but a commodity, same as information and air. Restrictions on IP are ridiculous. Innovation combined with flexibility and the ability to implement changes will be the differentiators between failure and success in the future.
Well now the chief concern officers will say, how can you innovate, if you are lacking the funding which was formerly generated by selling your IP?

Obviously you can’t. At least you can’t in the traditional way. You need to rethink and reinvent your business model.

Why? Because you are already making less profit and profits will go down furthermore. Funding is not always clear, but as innovation is more and more outsourced to the customers, or the communities which you operate, manage or contribute to, the entire business model is shifting. A company which has earned money before through, say subscriptions might find itself managing communities of people that share some interests. Obviously this will again not only change the revenue stream, or the value chain, this will force the company to reinvent itself.

All right now Florian, all this and not one word on social CRM? Wroooong…. All this was on social CRM, or whatever you want to call it. Social CRM, CRM2.0, or Social Media Management in the context with customer relations is all about the dear old Trinity of People, Processes and Technology – with one slight difference: People are now really in the beginning and everywhere until the end. Processes don’t need to be described only, or automated. Processes need to be so sophisticated that they can self adjust through the right measure of real-time web applications or other sophisticated BI tools. Without -as SugarCRM calls them- “Cloudconnectors” a CRM is not worth the energy required for switching the server on. Other than that, Technology can do what you can dream. Therefore the only question is: can you still dream?

…and the reality is, Processes need to support people in a holistic, immediate, proactive and such a wonderful way that your customers will stick with you. Then it’s not about what you are charging anymore, but about what kind of feeling and emotions your company is able to transport and to co-create.
This is something you can only influence when you see the full picture. People long for business friendships, they long for someone who knows them and with whom they can share their thoughts. Without the ability to dig into the networks and to establish that social competence, a CRM looses any right to exist. It can support your old school model for a couple of years, but due to its misconception, it will lead you down a road without return. When you wake up, you will look around and notice that you have slept one year too long.

I can’t tell you how curious I am, how this thinking will be adopted by the average CEO, who either is a lawyer, chemist, mathematician or has a degree in engineering. This has nothing to do with clear, well defined processes anymore. It must be comparable to the experience one has when he steps out of his Maybach and now has to win a bull-riding competition. SocialCRM IMHO is just the dawning of a new set of integrated tools forming Mash-Ups in the Cloud and helping us, as customers to manage ourselves. We will find the products we are interested in and we as customers will judge and decide whom we want to deal with. It is the ultimate democracy and Graham Hill was right comparing it in its importance with the era of enlightenment itself.

So to conclude, this is a first glimpse at the future therefore it is fiction, but it is so close to becoming reality that you can call it truth.
To be continued…

Don Tapscott and Florian Krüger in Munich

In 2.0, Events, Management, Uncategorized, Wikinomics on October 22, 2009 at 1:47 pm

The only interesting bits about the event in Munich were the keynote speaches and a couple of nice contacts, like meeting up with Professor Scheer again.

Don Tapscott, August-Wilhelm Scheer and Florian Krueger

Don Tapscott, August-Wilhelm Scheer and Florian Krueger

It is a shame that the once largest IT show in the south of Germany has been denoted to a gathering of likeminded IT Guru’s. We need to do something about it. Innovation has been mentioned in numerous posts and speeches of mine as being the key to success or even survival in Central Europe. Like it or not, besides Biotech (aka the Nano-Guys) IT will remain the main driver behind any meaningful change project in the years to come.
An IT fair therefore should have the governments highest attention and support. Instead, the Bavarian Head-of-State decides to fight about coalition non-issues to foster the power of the local party in Berlin. Well…

Enough complaining, the real take-away from this fair was positive, there are many smart people around and good ideas that have been discussed. Don has certainly given the people a lot to think about and input -such as his- is crucially important to the German Leadership. Everybody knows that Flickr is more successful than Kodak’s EasyShare, but has everyone embraced the idea and made it a part of his reinvention / change programme? What does it mean that communities and “Curators of Content” are so much more important than the pure providers of information?
Has every company / organisation thought and I mean really thought about the desires, dreams and fears of their clients? How they can be managed in the best, philantrophic way and how they can then ultimately be so well tied to the organisation that loyalty exceeds temptation…

What I also liked a lot was to see how innovative some of the perceivedly conservative companies such as Giesecke & Devrient are. They are humming happily behind all these megatrends, which are about to come such as 4th generation networks and developing the tools for success, without the larger audience even knowing that they exist, or what it exactly is they are doing. I have to admit, I was impressed by some of their thinking.

And finally it was great to meet the folks from BITKOM and especially Thomas Mosch, who does a stellar job in Berlin for the entire industry.

So, at the end of the day the overall impression is really positive, but there’s still a long way to go for Europe, before we can relax and enjoy our achievements. Let’s Go!