German companies overcome E2.0 challenges.

by Gil Yehuda on November 11, 2009

in Enterprise 2.0


The best quote from my visit to the E2.0 Summit in Frankfurt was shared by a community manager who works in a large French tel-com.

I am prepared to be surprised.

We were talking about his E2.0 initiative which is now gaining momentum and is on the path to success.  I loved this mindset.  It is incredibly healthy and self-aware.  Read it over again.  It is a profound statement that allows for the humility of surprise, with the professionalism of preparedness.

How does one prepare to be surprised?  I guess you have to experience many surprises to prepare for another one.  I experienced some surprises here.  Yes, I expected to learn a lot.  I expected that there are differences between the US and European E2.0 marketplaces (I spent a short time working in Europe many years ago).  But I’m not sure I was prepared for the all the interesting things I learned.

After spending some time with Prof. Dr. Joachim Niemeier today, I have a new insight into some of the challenges that Enterprise 2.0 initiatives have in the German market. I learned that over 70% of the German workforce works in small to medium size companies. And that when companies grow to a certain size (about 30-40 workers) they can form workplace councils — which are somewhat similar to the unions that we have in the US.  But there’s a difference.  Typically we think of US unions that collectively negotiate for truckers, auto workers, or steel workers.  But Germans companies have unions for office workers.

Unions represent a very interesting collaboration challenge.  On the one hand, a union is a workplace community.  Workers share a common fate and collect their interests in the form of a collective voice.  This, in theory, is quite aligned with 2.0 concepts.  But in reality these worker councils and E2.0 are a tricky mix.  Workers councils leverage their power to negotiate nearly everything in a workplace.  This can create a naturally adversarial relationship between workers and management.  Enter E2.0 tools that are designed to level the conversation-playing field, and you can see there are big problems here.

But wait, there’s more.  Much more.  The union leaders are not so keen on having E2.0 tools since it can result in eroding their power and give more power to the workers that the union represents.  Managers in small companies can also form owner-councils.  This can help them negotiate with the workers’ councils — and may also be threatened by the shift in power too.  In other words — there are decision makers on both sides that are threatened by E2.0.  So in order to implement E2.0 tools in these environments, you have to have shared agreement by all the decision makers before you proceed (even before you pilot this).  Oh, by they way, negotiations that are made between the workers council and management can impact workers who are not represented by the council too.  So for example, if the union agrees to a flex time arrangement and a 5% pay raise, then these apply to non union workers too.  <jaw dropped> Are you serious? </jaw dropped> Yes.

But wait — in Germany you cannot make performance assessments of your employees based on digital information that you collect about them.  I asked the good professor to explain by posing this question:  Let’s say I hire two application developers to write code for me.  One of them writes more code with fewer defects and is better documented.  Both place their code in our source code repository which happens to provide me with information about these details.  I’d like to reward the programmer who has earned it.  But I cannot.  I cannot discriminate against the other programmer based on the digital data that I have collected about them.  But, the professor tells me that I can use qualitative measures. — You mean I can reward the better performer if I find her more friendly?  Yes.  And if I track which salesperson sells more product, then that data cannot be used either?  No.

I must admit to being really taken aback by this description.  I don’t know if I got all the facts right, but I did get the sense that business is different in Germany.  Most E2.0 vendors probably are unaware of just how different the German workplace is.

But now for the biggest surprise of the day — and it was a positive one.  I gave a talk called “Preparing the Workforce for Enterprise 2.0″ (I’ll share details in another post.)  After my introduction, I asked the participants of the mostly full room about them.  There were very few E2.0 vendors and consultants in the room.  Most participants were working in some European company that was already implementing Enterprise 2.0.  Some were planning to implement E2.0.

Whereas the E2Conf in the US was quite well represented by vendors and consultants in the E2.0 space, the E20 Summit in Frankfurt was filled with corporate clients — mainly Germans, but some French, Italians, and other too.  (This is due to the way Kongress Media markets their conferences.)  Sure, this was a much smaller conference in total size, but it was very interesting to meet so many people who are implementing E2.0 as their full time role.  Learning just how challenging this can be gave me an added appreciation for the fantastic work that is going on here.

I was unprepared to be as impressed as I am.

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{ 9 comments… read them below or add one }

1 Michael Krigsman November 12, 2009 at 9:10 am

Fantastic and well-written post.

Enterprise 2.0 adherents often assume that everyone wants shared and transparent information. Sadly, agendas of all kinds frequently interfere with that goal.

I believe this fundamental issue is perhaps the single largest obstacle to E20 adoption.

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2 Gil Yehuda November 13, 2009 at 10:38 am

Thank Michael!
Indeed there are lots of challenges, but I must tell you (all) how amazing it was to see all the hands raised when I asked who represented organizations who have already implemented E2.0 tools and practices. More than half the room! And most were German (though we had people from France, Italy, Norway, UK, and Switzerland — perhaps others too).

So I was surprised to learn how much potential power employees have in German companies, and how much power the union leaders have too. What this means is that you have even more people to coordinate in getting these projects started. But even MORE impressed with how many companies have already jumped this hurdle!

If they can do it there, then – well… you get the point. Sure there are challenges, but the take-away message was total inspiration that it is incredibly achievable with the right mindset.

Reply

3 Joachim Niemeier November 23, 2009 at 5:42 am

Gil, thanks a lot for this post (and also for the nice evening and good discussions we had in Frankfurt). You have covered the main topics of our discussion very well, some details need a little bit more clarification. In the meantime maybe this (automatic) translation of the German Betriebsverfassungsgesetz will give some more insights.

Implementors must know these restrictions, otherwise E2.0 introduction will struggle to overcome formal barriers. You can do all the things you mentioned (eg. performance assessment based on digital data) also in Germany- but good advice is to find an agreement before a full roll out.

On the other hand, we have many insightful E2.0 success stories here in Germany. Actually we a analyzing a set of around 50 E2.0 cases from the German market. The open culture of many small and medium-sized companies in Germany is a supportive factor for E2.0 introduction.

4 Gil Yehuda November 23, 2009 at 11:08 am

Professor Joachim, thank you and thank you again for the time we spent together. Forgive me for not getting all the details about German law. However, I did learn two big ideas from our conversation. 1. German law gives workers some degree of power in the workplace that others do not have. In some ways this adds another challenge to E2.0 adoption since there is one more empowered party in the decision process. 2. Enterprise 2.0 Adoption in German companies is quite strong and successful.

Perhaps I need to see this differently. Maybe the added degree of worker empowerment actually helps E2.0 adoption. I’d love to get more feedback on this idea — let me start a new post to ask this very question.

5 Andrea Back November 12, 2009 at 2:22 pm

Dear Gil, I found you through your post on intronetworks. As a Professor in the German speaking part of Switzerland, I know the community (Kongress Media, Prof. Niemeier) very well. For Switzerland, these restrictions/barriers to faster adoption of e20 do not apply. So I am positive, we can get enterprises going onto the path for what is promising in the enterprise 2.0 field. E.g. colleagues from Austria, Germany and me Switzerland want to “showcase” Enterprise 2.0 examples on http://www.e20cases.org, as we think, local implementations might generate a more immediate feeling of having to act upon the 2.0 movement.
I looked at intronetworks because I plan an event formate (open space) that allows community interaction on the topic of the open space (a 2 day f2f conference) before and after the presence event. How do you like intronetworks? What are your experieces? I would love to talk, before I get into deeper conversations with them about my needs and interest. Best regards, Andrea

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6 Gil Yehuda November 13, 2009 at 12:58 pm

Andrea,
thanks for letting us know about Switzerland. Let us also know about the event (and if there is any way I can help you with it).

I’m familiar with IntroNetworks and have been impressed with my conversations with Mark Sylvester, the CEO. I’d say they think differently, and I say that as a compliment. They have a very thoughtful platform that is pretty easy to navigate. But I have never used it in a live event, so I don’t have first hand-insight to know how it performs in real situations.

We had a Google Wave experiment at the E2.0 Summit, and it was pretty successful, but I don’t think it was as good as it could have been (with more participation). Moreover, it does not have many of the features that IntoNetworks has.

E2.0Cases.org is interesting, however it’s a blog not a wiki, and thus it limits participation. It reminds me of nupedia, not wikipedia (submitted and approved articles, not emergent content).

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7 Chris Yeh November 13, 2009 at 12:22 pm

Fascinating stuff, Gil. I’ve been banging the drum for the past week or so that E2.0 advocates need to consider how to make the technology relevant to employee’s comp plans.

For many, the answer is to make adoption part of the bonus structure.

And in Germany, you’re not even allowed to do that.

I think it points the way towards where things need to go–E2.0 has to show measurable impact on the metrics that matter in compensation calculations.

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8 Gil Yehuda November 13, 2009 at 12:36 pm

Chris,
Let me take this even further. One of the common ways to address the challenges in the German E2.0 marketplace is to allow for anonymous wiki editing and comments. But all the experts (including me, if I may be so bold to claim that status), will tell you that anonymity is an anti-pattern since it allows the kind of permissiveness that many executives fear.

But alas this is OK. Why? Let’s think about this for a moment…

Most of us discourage employees anonymity as one of the ways we ensure that E2.0 tools are used appropriately. But some German companies allow for anonymity for that same reason — to ensure that E2.0 tools are used appropriately (preventing management from using information in illegal ways against their employees).

What this means: There is no one Enterprise 2.0. There are solutions for each situation. But each situation is different. So solutions will differ. And thus we need to listen and learn before we assert solutions. This was a big lesson for me that I acquired by — guess what? — listening and learning :-) .

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9 Dan Keldsen - Information Architected November 13, 2009 at 3:03 pm

Gil – Most definitely no single best way to approach Enterprise 2.0, and it’s quite interesting to hear how people have to change/bend/break or even establish rules that are contrary to the “typical” notions of Enterprise 2.0.

There are certainly many instances where anonymous use makes perfect sense – it can either throw a barrier in the way (anonymous idiots) or make it so people feel free to participate (don’t hold it against me).

Multi-national organizations certainly need to keep an eye out for this, but I’d also argue that, depending on the current state of trust in ANY organization, it would be worth considering whether the (normally) useful adoption pattern of Identity Matters is the best way to begin an E2.0 experiment. Not everyone is going to just jump right in, a scaffold of comfort with disclosure, rather than the typical scaffold of templates for content.

E2.0 Maturity FTW! ;)

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