In VII Pillars of Productivity, Erik Brynjolfsson attempts to enumerate what makes a company productive. But his analysis is sooo old school. In the Internet economy the smarted people are outside your company and the job of the company is to create value by recruiting participating users (ecosystems). Lets review his items in these terms
- Move from Analog to Digital Processes: Obviously. Get on the Internet. Run a blog. Run a wiki.
- Open Information Access You have very little information that should be private to your company (or is if you have more than a few employees)
- Empower the employees. Make that Empower the users. Wikis are the most extreme example of this.
- Use merit-based incentives. Recognize your best users. Listen to them. Give them more power. Give them rebates/payments
- Invest in corporate culture. Invest in user culture
- Recruit the right people. The best people might not be available as EMPLOYEES. Find other ways to involve them
- Invest in human capital. Invest in user capital. Cultivate the abilities of your users. Gather them. Run free classes.
Update: Virginia Postrel notes an MIT study that shows most innovations originate with users rather than marketers