ICk IMMLDIA1L kLLLASL

ub||cat|on Date: September 14, 2010

Contact: 8arbara Cave nenr|cks
(312) 301-8936 or barbara[cavehenrlcks.com
Iu||e Devo||, narvard 8us|ness kev|ew ress
(617) 783-7471 or [devoll[hbr.org
Iorrester kesearch
(617) 613-6104 (!on Symons) or press[forresLer.com

Cur personal and buslness worlds have changed, !"#$%&'&( ls Lhe blueprlnL for
dlglLal lmmlgranLs and naLlves Lo successfully parLlclpaLe."

Stephen G|||ett, Ch|ef Informat|on Cff|cer, GM D|g|ta| Ventures, Starbucks Coffee Company






CusLomers have more power Lhan ever, Lhanks Lo groundswell Lechnologles LhaL glve Lhem unprecedenLed
amounLs of lnformaLlon and connecLlons. Case ln polnL: uave Carroll's lnfamous unlLed 8reaks CulLars"
?ou1ube vldeo. CusLomers can easlly make Lhelr complalnLs publlc and vlral, and ln a world LhaL moves aL Lhe
speed of 1wlLLer, corporaLlons can no longer run an organlzaLlon from Lhe Lop down. 1he soluLlons are golng
Lo come from Lhe people ln markeLlng, ln sales, and supporL. ?our [ob as a manager ls no longer Lo run Lhlngs.
?our [ob ls Lo supporL and empower Lhose creaLlve people Lo develop soluLlons LhaL can serve cusLomers aL
Lhe speed of Lhe groundswell.
ln LMCWLkLD: Un|eash our Lmp|oyees, Lnerg|ze our Customers, and 1ransform our 8us|ness (Parvard
8uslness 8evlew ress, hardcover, SepLember 14, 2010), Lop lorresLer execuLlves !osh 8ernoff and 1ed
Schadler explaln LhaL ln order Lo Lhrlve ln Loday's connecLed world, companles musL empower Lhelr &"#)$*&&+
Lo solve empowered -.+/$"&'+0 problems, uslng Lhe same Lechnologlcal Lools LhaL cusLomers are uslng Lo
sound Lhelr aLLack. 8ernoff co-auLhored Lhe 2008 besLseller 1'$.2(+%&)), whlch offered sLraLegles for
connecLlng wlLh cusLomers ln a world Lransformed by soclal Lechnologles. 1he book was a blockbusLer,
feaLured everywhere from Cn8C Lo Lhe 34252-45) 64"&+, and was halled as one of Lhe mosL comprehenslve
and useful prlmers on Lhe sudden surge ln soclal medla" (7(8&'/4+429 79&). LMCWLkLD plcks up where
1'$.2(+%&)) lefL off, addresslng Lhe new managemenL challenges LhaL have arlsen as companles engage wlLh
Lhelr cusLomers ln Lhe groundswell.
LMCWLkLD:
Un|eash our Lmp|oyees, Lnerg|ze our Customers, and 1ransform
our 8us|ness

by !osh 8ernoff and 1ed Schadler

ln Lhe new groundswell-called Lhe Lmpowered 8evoluLlon-cusLomer soluLlons wlll noL come from
managemenL, buL from employees on Lhe ground. 8ernoff and Schadler have apLly named Lhese employees
PL8Ces: Plghly Lmpowered and 8esourceful CperaLlves. 1hey're behlnd cusLomer servlce lnlLlaLlves llke 8esL
8uy's celebraLed 1welpforce, and ComcasL's game-changlng ulglLal Care 1eam. PL8Ces are already armed wlLh
Lechnologles-ln facL, 37 percenL of uS lnformaLlon workers use do-lL-yourself Lechnology Lo geL work done.
1hey're also engaged and ready Lo lnnovaLe, buL Lhey need supporL and sLrucLure from Lhelr organlzaLlons
1hls grass-rooLs approach Lurns Lhe LradlLlonal organlzaLlonal hlerarchy on lLs head and requlres companles Lo
Lransform Lhe way Lhey operaLe. lueled by orlglnal daLa from lorresLer 8esearch, LMCWLkLD addresses Lwo
faceLs of Lhls managemenL challenge: undersLandlng whaL PL8Ces acLually do, and seLLlng up managemenL
and l1 sLrucLures Lo creaLe and susLaln a PL8C-powered buslness. 1he book offers a number of Lools,
lncludlng:
! 23 case sLudles of lnnovaLlve companles and leaders who have enacLed PL8C-based programs-llke
!ohn 8ernler and 8en PedrlngLon aL 8esL 8uy, who bullL an army of 2,300 LweeLlng employees Lo reach
ouL Lo cusLomers onllne
! 1he Lffort-Va|ue Lva|uat|on, whlch helps managers and PL8Ces assess wheLher a pro[ecL ls worLh
pursulng (avallable aL hLLp://www.forresLer.com/empowered/Lools.hLml)
! 1he four-sLep IDLA process for Lurnlng cusLomer servlce lnLo a markeLlng Lool: IdenLlfy Lhe mass
lnfluencers, Dellver groundswell cusLomer servlce, Lmpower your cusLomers wlLh moblle lnformaLlon,
and Ampllfy your fans (see aLLached)
! 1he nLkC Compact: an agreemenL beLween Lhe PL8Ces, managemenL, and l1 LhaL deflnes each
group's role and how Lhey wlll work LogeLher Lo serve cusLomers (see aLLached)
! A nLkC Index for deLermlnlng wheLher your company ls ready Lo supporL PL8Ces
! SLraLegles and sysLems for managlng PL8Ces, supporLlng Lhelr lnnovaLlon, helplng Lhem collaboraLe,
and keeplng Lhem safe
! Ways your l1 deparLmenL can become Lhe LrusLed parLner for your company's employee- and
buslness-led Lechnology lnnovaLlon

LMCWLkLD offers managers a blueprlnL for encouraglng lnnovaLlon, conLalnlng chaos, and bulldlng a PL8C-
powered company.

1he shlfL Lowards empowered consumers affecLs every buslness now, wheLher you're selllng washlng
machlnes, elecLronlcs, buslness servlces, banklng, or enLerLalnmenL," say 8ernoff and Schadler. ?ou can bulld
a sLraLegy around empowerlng employees Lo solve cusLomers' problems-seL pollcy, Lraln Lhem, and harness
Lhelr creaLlvlLy as a sLraLeglc force Lo power your company. ln Loday's envlronmenL, lL can make or break you."
lor markeLlng, l1, and Lech lndusLry leaders wonderlng how Lo geL creaLlve soluLlons ouL of Lhelr Leams,
LMCWLkLD offers Lhe hard daLa, real-world examples, and pracLlcal Lools LhaL wlll free your employees,
serve your cusLomers, and Lransform your buslness.
LMCWLkLD:
Un|eash our Lmp|oyees, Lnerg|ze our Customers, and 1ransform our 8us|ness
Authors: Iosh 8ernoff and 1ed Schad|er
ub||cat|on date: September 14, 2010
nardcover, 527.9S, 272 pages
IS8N: 978-14221SS639
http:]]www.forrester.com]empowered]
About the Authors
ICSn 8LkNCII ls senlor vlce presldenL of ldea developmenL aL lorresLer 8esearch and ls responslble for
ldenLlfylng, developlng, and promoLlng some of Lhe company's mosL lnfluenLlal and forward-looklng ldeas.

!osh ls Lhe co-auLhor of Lhe :.+42&++;&&< besLselllng book 1'$.2(+%&))= ;422429 42 5 ;$')( 6'52+>$'"&( ?*
@$-45) 6&-A2$)$94&+ (Parvard 8uslness ress, 2008), a comprehenslve analysls of corporaLe sLraLegy for deallng
wlLh soclal Lechnologles. 1'$.2(+%&)) has won crlLlcal acclalm: Abbey klaasen of 7(8&'/4+429 79& plcked lL as
Lhe besL book ever wrlLLen on markeLlng and medla, and Amazon's edlLors puL lL ln Lhe Lop 10 buslness books
of Lhe year.

ln 2008, Lhe SocleLy for new CommunlcaLlons 8esearch plcked !osh and hls 1'$.2(+%&)) co-auLhor, Charlene Ll,
as vlslonarles of Lhe year."

!osh [olned lorresLer ln 1993. ln 1996, he creaLed Lhe 1echnographlcs segmenLaLlon, a classlflcaLlon of
consumers accordlng Lo how Lhey approach Lechnology. lorresLer has used Lhls segmenLaLlon as Lhe basls of
lLs consumer research offerlng, also called 1echnographlcs, slnce 1997. !osh ls also known for 10 years of
analysls of Lhe Lelevlslon lndusLry.

!osh's research, analysls, and oplnlons appear frequenLly ln publlcaLlons llke Lh& B&% C$'< 64"&+ and Lhe ;5))
@/'&&/ D$.'25). Pe wrlLes a column for E5'<&/429 B&%+, a publlcaLlon of Lhe Amerlcan MarkeLlng AssoclaLlon,
and blogs for lorresLer and 7(8&'/4+429 79&. !osh has keynoLed ma[or conferences on Lelevlslon, muslc,
markeLlng, and Lechnology ln 8arcelona, Cannes, Chlcago, London, new ?ork, 8ome, 1okyo, and Sao aolo.

1LD SCnADLLk ls vlce presldenL and prlnclpal analysL aL lorresLer 8esearch. Pls work ln over 13 years aL
lorresLer has conslsLenLly focused on dlsrupLlve Lechnologles and how senlor declslon-makers should harness
Lhem. 1ed uses quanLlLaLlve sLudles and buslness analysls Lo ldenLlfy and answer Lhe Lechnology quesLlons of
execuLlves ln buslness and consumer markeLs.

Slnce 1ed [olned lorresLer ln 1997, he has had a wlde and varled career as an analysL, research dlrecLor,
lnnovaLor, and buslness manager. 1ed has been lnsLrumenLal ln analyzlng Lhe lmpacL of lnLerneL 1.0, open
source sofLware, Web servlces, dlglLal medla, broadband, cloud compuLlng, smarLphones, and collaboraLlon. ln
2000, 1ed launched and managed lorresLer 1ech8anklngs, Lhe precursor Lo Lhe lorresLer Wave meLhodology.

ln 2009, 1ed creaLed lorresLer's Workforce 1echnographlcs meLhodology, Lhe lndusLry's flrsL benchmark
analysls of how people use Lechnology aL work. 1hls quanLlLaLlve approach Lo undersLandlng workforce
Lechnology has led Lo many of Lhe ldeas ln !"#$%&'&(.

1ed has appeared as a Lechnology experL on A8C, C8C, Cn8C, n8C, and 8S, and hls research and analyses have
been clLed ln :.+42&++;&&<, 6A& !-$2$"4+/, Lhe B&% C$'< 64"&+, and Lhe ;5)) @/'&&/ D$.'25). 1ed has
keynoLed aL buslness Lechnology and markeLlng conferences worldwlde.

1ed's background lncludes flve years as a professlonal rock-and-roll muslclan for Lhe Maryland-based band
Crash uavenporL, and 10 years as chlef Lechnology offlcer for a company bulldlng healLhcare appllcaLlons. Pe
has degrees from SwarLhmore College, Lhe unlverslLy of Maryland College ark, and Ml1 Sloan School of
8uslness.
What Cthers are Say|ng about LMCWLkLD

"!"#$%&'&( dellvers powerful lnslghL lnLo one of Lhe mosL unLapped opporLunlLles for ma[or markeLers-
engaglng Lhe army of employees and brand fans LhaL puL personal faces on corporaLe glanLs. As 1'$.2(+%&))
dld before lL, !"#$%&'&( serves up pracLlcal and LacLlcal advlce for maklng lL happen, placlng lL ln Lhe all-Loo-
rare caLegory of buslness books LhaL don'L [usL Lell you whaL Lo do buL also offer a framework for how Lo do lL."

Abbey k|aassen, Lxecut|ve Ld|tor, !"#$%&'(')* !*$


lor years, buslness books have been exLolllng markeLers Lo empower cusLomers wlLh dlglLal Lools.
!"#$%&'&( ls even more relevanL glven Loday's reallLles: lL glves .+ Lhe Lools Lo allgn our markeLlng sLraLegy
wlLh Lhe expecLaLlons of our already-empowered cusLomers."

Georges-Ldouard D|as, SV D|g|ta| 8us|ness, L'Cra|



CrganlzaLlons ln Lhe LwenLy-flrsL cenLury musL engage and energlze employees ln order Lo esLabllsh
susLalnable dlfferenLlaLlon and drlve resulLs. ln Lhls Llmely book, 8ernoff and Schadler provlde pracLlcal
Lhlnklng based on dozens of case sLudles, provldlng lnslghLs on how besL Lo unleash Lhe creaLlve forces wlLhln
your company."

Dr. Shaygan kheradp|r, LV & CIC, Ver|zon


1wo key Concepts from LMCWLkLD

1he Iour-step IDLA rocess
CusLomers vocallze Lhelr oplnlons abouL producLs and servlces Lhrough groundswell Lechnologles-1wlLLer,
lacebook, blogs and producL revlews-and Lhey can spread elLher poslLlve or negaLlve messages. ln
LMCWLkLD, 8ernoff and Schadler Lell companles Lo conslder Lhese cusLomers a markeLlng channel raLher
Lhan a cusLomer servlce cosL cenLer and ouLllne a four-sLep sLraLegy-called luLA-for connecLlng wlLh Lhem.

1. IDLN1II Lhe mass lnfluencers.
ConcenLraLe on Lhe people mosL llkely Lo spread messages abouL your company.

2. DLLIVLk groundswell cusLomer servlce.
8each ouL Lhrough groundswell channels-1wlLLer, blogs, ?ou1ube, lacebook, for example-and serve Lhese
vocal and lnfluenLlal cusLomers.

3. LMCWLk your cusLomers wlLh lnformaLlon, especlally moblle lnformaLlon.
keep people happy by surroundlng Lhem wlLh Lhe lnformaLlon Lhey need, Lhrough moblle Lechnologles llke LexL
messaglng, moblle slLes, and smarLphone apps.

4. AMLII your fans.
llnd Lhe people who love you, and boosL Lhe lmpacL Lhey have on Lhelr peers. 1hls secLlon lncludes a flve-sLep
meLhod for ampllfylng word of mouLh.



1he nLkC Compact
ln a PL8C-powered buslness, empowered employees are a conLlnuous force for lnnovaLlon ln servlce of
cusLomers. 8uL lL Lakes Lhree groups worklng LogeLher Lo make Lhls cusLomer-focused lnnovaLlon posslble: l1,
managers, and Lhe PL8Ces Lhemselves. 1hls new agreemenL ls called Lhe PL8C CompacL, and lL deflnes Lhe
new roles for each player.

! I1 ls responslble for supporLlng PL8Ces wlLh Lechnology lnnovaLlon, glvlng leaders Lhe Lools Lo manage
rlsk, and scallng up successful soluLlons.

! Managers are responslble for maklng cusLomer-focused lnnovaLlon a prlorlLy, esLabllshlng Lhe
governance sLrucLures Lo supporL PL8Ces, and worklng wlLh l1 Lo manage Lhe buslness rlsk of
Lechnology.

! nLkCes are responslble for knowlng whaL cusLomers need, experlmenLlng wlLh Lechnologles LhaL solve
cusLomer problems, and operaLlng wlLhln Lhe safeLy prlnclples esLabllshed by l1 and managers.




AdapLed from ,-./0$%$" by !osh 8ernoff and 1ed Schadler, Parvard 8uslness 8evlew ress, SepLember 2010,
Pardcover.
An lnLervlew wlLh !osh 8ernoff and 1ed Schadler,
auLhors of LMCWLkLD

: Iosh - you co-authored the bestse||er 1%/2)"(0$33, wh|ch showed organ|zat|ons how to succeed |n a
wor|d transformed by soc|a| techno|og|es. What deve|opments have you observed |n the bus|ness wor|d |n
the two years s|nce 1%/2)"(0$33 was pub||shed? And how does LMCWLkLD address the new cha||enges
that have ar|sen s|nce then?

A: 1wo changes have happened. llrsL, slnce we wroLe 1'$.2(+%&)), Lhe world has become far more soclal, and
moblle Lechnologles have broughL Lhose soclal connecLlons a loL more lmmedlacy. 1hls lncreases Lhe pressure
LhaL cusLomers puL on Lhe companles LhaL serve Lhem. 1he second change ls LhaL more people, everywhere ln
companles, are uslng Lechnology Lo creaLe all klnds of soluLlons Lo serve Lhose empowered cusLomers. 1hese
are sales, cusLomer servlce, and l1 people, noL [usL Lhe markeLlng people we focused on ln 1'$.2(+%&)). 1he
new challenge ls how Lo manage and keep secure all Lhese employees creaLlng Lechnology-based soluLlons for
cusLomers.

: Lmpower|ng your emp|oyees to create |nnovat|ve customer so|ut|ons sounds great. 8ut how can
managers assess wh|ch of the|r emp|oyees' pro[ects are worth pursu|ng?

A: Cur book lncludes a Lool LhaL employees or Lhelr managers can use Lo assess Lhelr pro[ecLs by answerlng Lwo
baslc quesLlons: 1) how much value can we creaLe? 2) how much efforL ls lnvolved? We help people ldenLlfy
boLh Lhe roadblocks Lhey may face as well as Lhe beneflLs and make sure Lhey maLch up ln such a way LhaL a
pro[ecL ls worLh dolng. We've goL an onllne verslon of Lhe Lool aL hLLp://www.forresLer.com/empoweredLool.

: Wh|ch techno|og|es are most |mportant |n the trend toward empowered customers? Wh|ch techno|og|es
empower emp|oyees?
A: Soclal Lechnologles are sLlll lmporLanL, buL moblle and vldeo Lechnologles are lnLeracLlng wlLh Lhem ln a way
LhaL really amps up Lhe cusLomer power. When lL comes Lo employees, moblle Lechnologles llke lhone apps,
vldeo Lechnologles llke ?ou1ube, and soclal Lechnologles llke cusLomer communlLles are maklng lL relaLlvely
cheap for people ln Lhe organlzaLlon Lo lnnovaLe. And wlLh cloud servlces llke Coogle App Lnglne or Amazon
LC2, Lech-savvy employees can now bulld lnLeracLlve soluLlons wlLhouL even needlng a server - Lhey can [usL
renL Lhe resources Lhey need wlLh a credlL card. Cver Llme, new Lechnologles wlll arrlve, flrsL as consumer
Lools, and soon afLer as enabllng Lechnologles LhaL employees can use as well.

: 8ecom|ng a nLkC-powered organ|zat|on |s appea||ng, but |t must be cha||eng|ng to run your bus|ness th|s
way. What can managers do to encourage |nnovat|ve nLkCes, wh||e s|mu|taneous|y conta|n|ng the chaos?

A: 1here are a loL of Lhlngs you can do Lo encourage PL8Ces. 1he flrsL sLep ls Lo unlock Lhe Lools Lhey need,
from Coogle uocs Lo Llnkedln Lo lacebook, so Lhey can acLually use Lhe Lechnology Lhey need Lo undersLand
and solve cusLomer problems. lL's noL enough Lo say you wanL lnnovaLlon - you need Lo bulld ln sysLems LhaL
flnd Lhose sparks of lnnovaLlon and fan Lhem lnLo acLual pro[ecLs. ?ou need Lo develop a culLure LhaL LoleraLes
small fallures. And lL sure helps lf you flnd Lhe lnnovaLors and recognlze Lhem publlcly ln fronL of Lhe resL of Lhe
company.

As far as managlng Lhe chaos, we recommend geLLlng people lnvolved ln slmllar pro[ecLs connecLed across
deparLmenLs - a governance sLrucLure called a councll. Counclls can help people Lurn ldeas lnLo besL pracLlces.
And companles need Lo Lraln Lhelr sLaff on how noL Lo vlolaLe regulaLlons or geL lnLo legal Lrouble. 8uL ln
general, Lhe compeLlLlve danger of squashlng lnnovaLlon ls a loL worse Lhan Lhe manageable rlsks LhaL people
lnnovaLlng wlLh Lechnology can cause.

: now w||| I1 departments have to ad[ust |n order to support a nLkC-powered organ|zat|on?

A: lear of or real experlence wlLh Lechnology pro[ecLs gone asLray has made l1 sklLLlsh when lL comes Lo new
buslness-led pro[ecLs. 1he resulL ls LhaL l1 has, ln some cases, earned lLself a repuLaLlon for shuLLlng down
Lechnologles before pro[ecLs even geL golng. 1he blggesL change for l1 ls reallzlng LhaL all of Lhese employee-led
and buslness-led pro[ecLs are acLually lmprovlng Lhe company by uslng Lechnology Lo solve Lhe problems of
empowered cusLomers. 8aLher Lhan shuL Lhlngs down, l1 groups need Lo geL beLLer aL asklng, WhaL are you
Lrylng Lo accompllsh?" and Pow can we help?"

1he blggesL ad[usLmenL has Lo do wlLh managlng rlsk. 8lsk needs Lo become a buslness cosL Lo be assessed
raLher Lhan an l1 concern Lo avold. 1o accompllsh Lhls rlsk-managemenL shlfL, flrms need Lo crafL a new
agreemenL beLween employees, buslness managers, and l1, where all Lhree groups agree Lo manage rlsk, focus
on cusLomers, and work ln concerL raLher Lhan aL cross-purposes.

l1 wlll need Lo go furLher Lhan LhaL, Lhough, Lo bulld Lhe new securlLy archlLecLure, ldenLlfy key Lechnology
plaLforms LhaL empower employees, lmplemenL lnnovaLlon and soclal collaboraLlon programs, and be a
Lechnology advlsor Lo employees and managers.

: our case study of 8est 8uy's 1we|pforce |s a perfect examp|e of a nLkC-powered customer serv|ce
so|ut|on. What's the b|ggest takeaway for managers? Ior I1 |eaders?

A: 8esL 8uy's 1welpforce ls a greaL example of whaL happens when an organlzaLlon ls run Lhe way !"#$%&'&(
descrlbes - a Lech whlz ln Lhe Web group named 8en PedrlngLon creaLed Lhe Lechnology for lL, a markeLer
named !ohn 8ernler rolled lL ouL, and 2,300 fronL-llne employees have parLlclpaLed. lL helps 8esL 8uy appear Lo
be a hlgh-servlce organlzaLlon wlLhouL addlng much ln Lhe way of cosLs. 1he lesson for managers ls Lhls:
LoleraLe and encourage lnnovaLlon, even lf Lhe resulLs aren'L compleLely baked," as 8esL 8uy CMC 8arry !udge
puLs lL. And l1 can learn from Lhls, Loo - a bunch of people, none of whom were ln l1, bullL Lhls soluLlon. 1hese
are Lhe klnd of pro[ecLs l1 has Lo encourage buL noL own. l1 people should ask Lhemselves, how could l make
1welpforce-Lype pro[ecLs happen aL my company?

: 8u||d|ng these customer-focused so|ut|ons |nvo|ves three groups: nLkCes, I1, and management. now can
the three work together |n a systemat|c and co||aborat|ve way?

A: Lach of Lhe Lhree groups has a responslblllLy. 1he PL8Ces musL lnnovaLe, buL promlse Lo use Lechnology Lo
serve cusLomers and observe Lhe rules managemenL and l1 seL up. ManagemenL has Lo encourage PL8C
acLlvlLy, buL assess rlsk and undersLand when people are geLLlng ln over Lhelr heads. And l1 has Lo help
managemenL wlLh Lhose rlsks, and provlde supporL Lo Lhe PL8Ces wlLhouL ownlng whaL's creaLed. lf Lhey all
work LogeLher, Lhe resulLs can Lransform Lhe speed aL whlch companles run.


: now can a company determ|ne whether they're ready to support nLkCes? And |f you f|nd your company
|s on|y at the beg|nn|ng of the [ourney, what can |nd|v|dua|s do to make a d|fference?

A: As we descrlbe ln !"#$%&'&(, you need Lo flnd ouL lf your employees feel empowered Lo solve problems
and lf Lhey're acLually uslng Lechnologles unsancLloned by Lhe l1 deparLmenL. ?ou could survey Lhem or look aL
Lhe benchmarks we have by lndusLry ln Lhe book. 1o geL more PL8C acLlvlLy, you'll have Lo move furLher on
boLh scales. Pere's where managemenL recognlzlng and hlghllghLlng PL8C pro[ecLs makes Lhe dlfference,
because lL sends Lhe message LhaL Lhe company ls supporLlve of Lechnology lnnovaLlon ouLslde of l1.