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The True ROI of Collaboration

August 27, 2012 at 7:16 am PST

As INSEAD and UC Berkeley Professor Morten Hansen says, “The goal of collaboration is not collaboration itself, but great results.”[1]  Working with many of our customers, we’ve developed a framework for assessing the true ROI of collaboration, and it falls into three distinct categories:

  • Operational ROI allows you to assess how collaboration eliminates or avoid costs associated with running your business. You might cut travel, reduce infrastructure needs, lower bandwidth or energy costs, save on office space and so on. Collaboration tools can replace or reduce the need for many of these types of costs.
  • Productivity ROI refers to savings generated from more efficient processes, accelerated decision-making and reduced cycle times. Collaboration can lead to significant productivity gains in any number of ways, such as optimizing within lines of business or matching your organization’s expertise to opportunities early on.
  • Strategic ROI can be the hardest to measure, but perhaps the most transformative. This kind of ROI occurs when collaboration enables your business to take a giant leap forward in areas like enhancing customer satisfaction and loyalty, accelerating innovation, introducing new business models or entering new markets. These types of changes can also reshape an industry in fundamental ways.

These three types of ROI sometime manifest themselves differently across Read More »

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Summary: John Lewis Changes the Face of Shop Operations by Using Video

When John Lewis (JL), a leading U.K. retailer, faced challenges with running its new, geographically distributed at home shops, Cisco IBSG knew that the problems could be solved through the innovative use of video technology.

Working with John Lewis CIO Paul Coby, Cisco IBSG and JL picked two critical concepts to pilot for the core retail use cases:

  1.  High-definition, real-time video conferencing based in each store for communicating among the at home shops, and between the shops and head office
  2. A video portal for sharing and viewing videos on demand (via each shop’s PCs)

The pilot’s results proved the value and the business case for video in shops, including estimated annual savings of 28,000 man-hours across the eight shops, and estimated annual travel savings of 20 percent to date.

Read the full article John Lewis Changes the Face of Shop Operations by Using Video

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John Lewis Changes the Face of Shop Operations by Using Video

When John Lewis, a leading U.K. retailer, faced challenges with running its new, geographically distributed at home shops, Cisco IBSG knew that the problems could be solved through the innovative use of video technology. Within the retail industry, video collaboration has historically been regarded as a head-office capability, with the notion that video and mobile technology at the shop level were both too expensive to implement and too complex to use. This was an opportunity to prove otherwise and create a retail industry first.

 Maggie Porteous, head of at home for John Lewis, was challenged with helping the new teams get to know the new shop format and with bringing them together to share learnings and improve operations. And while she wanted the dispersed shop teams to be able to work together, frequent travel was time-consuming, costly, and, most important, meant time away from serving customers. 

 Working with John Lewis CIO Paul Coby, we chose two critical concepts to pilot for the core retail use cases:

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Targeting video content to your shoppers – A lesson from DC Shoes

Two days ago, DC Shoes, retailer of footwear & gear for Extreme Sports,  released the latest of their GYMKHANA video series, titled “DC and Ken Block present Gymkhana FIVE: Ultimate Urban Playground; San Francisco.”    This video broke all the records from their previous videos, currently achieving 14 million views in its first four days.

Gymkhana is a form of motorsport where drivers  a preset course featuring obstacles such as tires, cones and barrels in timing/speed competition.  DC shoes CEO, Ken Block is their president, chief brand ambassor and an accomplished rallycross racer. 

Some interesting facts about the DC Ken Block Gymkhana Project’s marketing effectiveness

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In Between the Numbers: Renting Prosperity – A New Value Proposition

June 25, 2012 at 8:37 am PST

Have been thinking about the retail implications of an early May article in the Wall Street Journal.

“Renting Prosperity” (by Daniel Gross, May 5) spoke to the growing trend of rental – and not just in the traditional housing or automotive markets.  Numerous other rental business have emerged in recent years, from the Zipcar car-sharing plan to the Chegg.com college textbook service to the one million customers who have used Rent the Runway’s frock-and-accessory services.

The obvious implication for retail is all about new business models.  A number of traditional brick-and-mortar players are now testing the waters.  We’re aware of initiatives in which purveyors of hard goods are renting clothes washing machines by the load and high-end consumers of electronics are leasing home theatre set-ups and even iPads – along with monthly subscriptions, say, to Netflix. 

But the lessons of the rental trend go deeper than simply a new business model. 

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