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1.5 The Digital and Social Worlds: Economy, Enterprises, and Society 19

• Consolidating diverse computer system components and The Social Enterprise
applications
• Improving security and reducing human error The concept of social business is frequently equated to and
sometimes confused with the term social enterprise. Many
All of these contribute to IBM’s Smarter Commerce efforts. use the two terms interchangeably. The main goal of a social
enterprise is to focus on social issues. These enterprises
generate revenue. The profits do not go to owners and share-
The Social Business (Enterprise) holders, but are put back into the company and used toward
building positive social change. The Social Enterprise
The concept of social business has several definitions and Alliance provides details at se-alliance.org/why. It seems
characteristics. We present only a few of them. that the above definition emphasizes the social goals.

The Social Business Forum’s Definition
The Digital Revolution and Society
The concept of social business was developed decades ago and
was not related to computers. Today, the Social Business The final, and perhaps most important, element of the digital
Forum defines social business as “an organization that has put world is people and the way they work and live. Clearly, the
in place the strategies, technologies and processes to system- digital revolution has changed almost any activity one can
atically engage all the individuals of its ecosystem (employ- think of—work, play, shopping, entertainment, travel, medical
ees, customers, partners, suppliers) to maximize the co-created care, education, and much more. Just think about your digital
value.” See 2013.socialbusinessforum.com/social-business- phone, camera, TV, car, home, and almost anything else. It is
manifesto. The Forum also discusses the implication of this only natural that people are utilizing technology and EC at an
definition and its relevance inside, across, and outside organi- increasing rate. Let us take a look at some examples:
zations. Note that the efficient creation of value using technol-
ogy is emphasized. The Forum conducts annual conferences.

IBM’s Approach • Google has developed cars that drive themselves
automatically in traffic (autonomous vehicles). The
IBM has been recognized by the research company IDC as the cars are being tested in several states, including
market share leader in social software platform providers. IBM California, and were approved in the state of
and IDC include in their joint definition the following charac- Nevada in the summer of 2012. See Sparkes (2014)
teristics: use of emerging technologies such as social software, and Bridges and Sherman (2016) on how these
social-oriented organizational culture, and improvements of will change the world. For a comprehensive dis-
business processes. The IBM effort also concentrates on cussion, see Bridges and Sherman (2016). For an
improved collaboration. The basic idea is that social media overview and potential benefits, including safety,
networks and social customers require organizations to drasti- see Neckermann (2015). As of 2014, self-driving
cally change the way they work to become a social business cars are running in several cities. For details, see
that can exploit the opportunities created by the digital and Thomas (2014). See also Chapter 6.
social revolutions. IBM is helping organizations become social • AeroMobile is planning a flying car for 2017 that
businesses. (For examples, see ibm.com/social-business/us/ will have a full complement of e-business features
en and ibm.com/smarterplanet/global/files/us__en_us__ (see Smith 2015).
socialbusiness__epw14008usen.pdf.) IBM has an extensive • As of 2008, high school girls are able to solicit
“social business video library”; two interesting videos are rec- feedback from their friends regarding dozens of dif-
ommended for a better understanding of the concept. ferent prom dresses that have been displayed by
Sears on Facebook.
1. “How Do You Become a Social Business”—by Sandy • Washers and dryers in some college dorms are con-
Carter from IBM (3:50 min) at youtube.com/watch?v= trolled via the Internet. Students can sign in at
OZy0dNQbotg. esuds.net or use their smartphone to check the
2. “Social Business @ IBM”—An Interview with Luis Suarez availability of laundry machines. Furthermore, they
(8:50 min) at youtube.com/watch?v=enudW2gHek0. can receive e-mail or SMS alerts when their wash
and dry cycles are complete. Some systems can
(In addition, see slide shows embedded in Taft (2012a, b) even inject premeasured amounts of detergent and
used in Team Assignments #4 at the end of this chapter. Both fabric softener at the right cycle time.
are useful for understanding of the concept).