IBM Gains £2.5m Increase in Productivity with Social Media

According to IBM it has gained £2.5m a year in productivity savings because of implementing social media strategy in 2007. The company made use of social networks such as Twitter and LinkedIn to enable cross functional collaboration, and also encouraged employees to use them regularly.

Additionally, the company spread the benefits of social media to employees and partners by creating small decentralized groups of marketing and non-marketing employees across disciplines. The marketing team was involved in strategizing, making guidelines, training and educating IBM employees on new technologies. Also, it governed social media activity across the organization.

Forrester, an analyst firm, released the report on findings called ‘IBM Makes Social Media The Responsibility Of Every Employee’ from the social media. Jeff Ernst, principal analyst at Forrester, said

[Companies should] begin using their core marketing staff, then implement social as a job responsibility for all employees,’ and added ‘Creating a cultural affinity for social media allows employees to use both internal and external tools to build relationships and identify ways to improve the business. This creates efficiencies of scale and encourages best practices’.

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