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Information Systems

Term Project
Information Systems employed by LinkedIn

Batch 15

Term 1

Section A

Instructor Prof Anindita Paul

Group Members ( name with roll


no)
NIKHIL SAWANT EPGP-15A-042

SANDHYA SREEDHARAN NAIR EPGP-15A-066

SATISH NATARAJAN IYER EPGP-15A-069

SOWMYA KOPALLE EPGP-15A-080

TUSHAR JAYARAM HEGDE EPGP-15A-093

VIKIN JAIN EPGP-15A-100

Executive Summary

Information is the new currency of the rapidly evolving digital world. Any organization runs the risk of becoming
obsolete unless they leverage their Management Information Systems (MIS) to use the information to their advantage.
This report is our attempt to study the LinkedIn organization and analyze the way it manages its information systems.
LinkedIn is a unique online social media platform that allows business professionals to connect with each other. As a
major online hiring avenue and the largest market for professional audiences in the world, this opens up interesting
opportunities for LinkedIn:

● How can LinkedIn take advantage of changing trends in the job market?
● How can LinkedIn leverage its Management Information System (MIS) to keep growing and gain an
advantage over its competitors?
● What do new technologies like Web 3.0 and smart products/wearables mean for the future of LinkedIn?
● New challenges based on increasingly stringent data security norms across the world.

This report is a deductive analysis of the information systems employed by LinkedIn and a sketch of a possible future
roadmap for its operations. The key findings identified are:

● The strong and scalable architecture of LinkedIn's information systems allows the platform to accommodate
millions of users and data points.
● LinkedIn's features and functions, including job searching, networking, and content sharing, are created to
assist users in achieving their professional objectives and establishing connections with people in their field.
● The information systems employed by LinkedIn have a number of significant advantages for organizations,
including chances for brand creation and targeted advertising. .
● However, there are a number of ethical and privacy issues with LinkedIn's information systems as well,
including data security, privacy, and possible biases in job matching and related networking opportunities.

The project identifies several recommendations for LinkedIn to improve its information systems:

● Look ahead at upcoming smart products and plan to integrate with the LinkedIn app.
● Take advantage of impending disruptive technologies like Web 3.0 and AI by making the app more intuitive.
● To safeguard customer data and stop unwanted access, the company should improve its data privacy and
security procedures.

Overview of LinkedIn

LinkedIn, incorporated in the US in 2003, is one of the leading online professional networking firms in the world. The
company is now headquartered in California and is a wholly owned subsidiary of Microsoft. As of December 2022,
the firm had over 21,000 employees.

The company works on an online model (through its company website, www.linkedin.com) and has over 930 million
members [1] and a presence in over 200 countries, including 100 million subscribers in India. Apart from
professionals, LinkedIn also witnesses memberships from the student community, which has witnessed a 73% rise in
memberships.

The key differentiation between LinkedIn and other social networking platforms like Facebook is that LinkedIn
focuses solely on professional and business networking. As LinkedIn is “business only," it has garnered more respect
from the professional community as it strictly stores professional details and does not entertain the clutter present in
Facebook.

The firm offers free and subscription services to its members (LinkedIn Premium).

Free Services
Connect, Search Colleagues, and View Profiles
Provide recommendations

Premium Services
Premium Career: to help find relevant positions.
Sales Navigator: to help generate leads and approach potential clients.
Recruiter Lite: to help find and hire talent
Premium Business: to help get detailed business insights and further expand business
LinkedIn Learning: learning platform to improve skills

LinkedIn’s revenue is primarily influenced by the subscriptions purchased by enterprises and professional
organizations for Talent Solutions, Sales Solutions, and Premium Subscriptions, as well as the level of engagement
among members and the effectiveness of the sponsored content used to drive Marketing Solutions.

Overview of the Industry


LinkedIn’s offerings are classified under three product lines: Talent Solutions, Marketing Solutions and Premium
Subscriptions.

Talent Solutions:
LinkedIn Hiring comprises posting jobs, sourcing talent, and building your brand, while LinkedIn Recruiter offers
advanced searches and InMail. Through Post Jobs, an enterprise can post jobs on the LinkedIn platform for the same
slot at any time. LinkedIn Source Talent assists recruiters in searching for new talent, and Pipeline Builder helps
create a targeted pipeline of engaged talent. LinkedIn Build Your Brand offers career pages and Work With Us ads.
Company career pages highlight the culture through company videos and photos.

Marketing solutions
These solutions comprise reading the audience, ad targeting, ad pricing, conversion tracking, lead generation forms,
website retargeting, demographics, and account based marketing solutions. LinkedIn Ads includes various features
such as targeting, daily campaign budgets, campaign management, and reporting. The key features of the service
include options such as Profile Organizer, InMail, Premium Search Filters, Saved Searches, Profile Stats Pro, Sales
Navigator, and 3rd Degree Name Visibility.

Learning solutions
Various organizations such as Marketo, Autodesk, Maxis, Patagonia, Adobe, NBCUniversal, ZillowGroup, Ellie Mae,
and others offer this solution on linkedin. They help in providing expert-led, on-demand e-learning for business,
higher education, government agencies, and libraries.

In June 2016, Microsoft bought LinkedIn, Microsoft acquired LinkedIn for several reasons, including:

Access to a professional social network: By acquiring LinkedIn, Microsoft gained access to over 700 million
members of LinkedIn, this massive user base and the ability to integrate LinkedIn's data and features into its products.

Enterprise software and services: Microsoft can integrate, Linkedin’s suite of enterprise software and services that
help companies manage their human resources, recruiting, and sales efforts, into its existing suite of enterprise
software and services, such as Microsoft Office and Dynamics.

Data and analytics: Microsoft can use Linkedin’s user to improve its products and services and gain insights into the
job market and the professional world.

Growth and diversification: The acquisition of LinkedIn was part of Microsoft’s strategy to diversify its business
and move into new markets.

Since 2016, the user base of LinkedIn has expanded to 930 million from 469 million, almost doubling over the past 6
years.

User Demographics
Source: Statista

Information Systems employed by LinkedIn

LinkedIn is a large organization that employs various information systems in its day-to-day operations and business
model. Information systems used by LinkedIn:

Data Analytics and Business Intelligence Systems: LinkedIn offers a sophisticated business intelligence and data
analytics system that enables the corporation to collect, examine, and analyze vast amounts of data from numerous
sources. This system helps LinkedIn in decision-making by providing insights into user behavior, industry trends, and
market conditions.

LinkedIn developed numerous specialized data pipelines for streaming and queuing data to capture its escalating data
volume. As an illustration, data flows into the Hadoop workflow for data warehousing and analytics in segments.
Every service collects and aggregates logs to monitor events such as page views and real-time processes like queuing
email messaging systems and updating the user search system whenever a user's profile is modified.

The significant features of the LinkedIn website are:


● A member graph service.
● A search engine.
● A news feed.
● A communications platform.
● A member profile backend.

LinkedIn uses a data infrastructure that enables long-term growth, as was first evident with Databus and Kafka. They
have used Samza for data streams, Espresso and Voldemort for storage solutions, Pinot for analytics systems, and
other custom solutions. Some of the critical LinkedIn data insights like "People You May Know," "Similar profiles,"
"Notable Alumni," etc., are precomputed using a massive offline workflow Hadoop and Voldemort data store.
Source: engineering.linkedIn.com

As their user base increased, they developed Kafka, a distributed messaging platform. Kafka became a universal
pipeline, built around a commit log concept and built with speed and scalability in mind. Empowered by Hadoop jobs,
it enabled near real-time access to any data source, allowed real-time analytics, vastly improved site monitoring and
alerting capability, and helped visualize and track call graphs. Today, Kafka handles well over 500 billion events per
day.

Customer Relationship Management (CRM) System: LinkedIn uses its proprietary CRM (Customer Relationship
Management) system to manage customer relationships and interactions. This system was designed specifically for
LinkedIn's business needs and is unavailable for external use. The system allows LinkedIn to track and manage
customer interactions, including sales leads, customer support inquiries, and advertising campaigns.

Content Management System (CMS): LinkedIn uses its proprietary content management system (CMS) to manage
its website and mobile application. The CMS is designed to handle large amounts of user-generated content, such as
profile data, job postings, and news feeds. The CMS is also integrated with LinkedIn's other systems, such as its
search engine, recommendation engine, and advertising platform, to provide a seamless user experience. LinkedIn has
yet to disclose the technical details of its CMS or the underlying technology stack used to build it. This system enables
LinkedIn to create, curate, and distribute content efficiently, increasing engagement and user retention.

Cloud Infrastructure: LinkedIn's information systems run on a cloud infrastructure that enables the company to store
and process large amounts of data efficiently. LinkedIn primarily uses its data centers and cloud infrastructure for its
operations. LinkedIn's data centers are designed to meet the company's specific scalability, security, and reliability
needs. They have state-of-the-art technology, including high-performance servers, storage systems, and networking
equipment. LinkedIn uses a combination of open-source and proprietary software to manage its data center
infrastructure.
They also use Amazon Web Services (AWS), Microsoft Azure, and OpenStack as their primary cloud infrastructure
providers. AWS is used for LinkedIn's core services, such as the LinkedIn website, mobile apps, and backend services.
Azure is used for specific services, such as its artificial intelligence and machine learning capabilities, while
OpenStack is used for its private cloud infrastructure. LinkedIn also uses other cloud-based tools and services, such as
Google Cloud Platform (GCP) for its search infrastructure and Apache Kafka for its real-time data streaming needs.
Thus, LinkedIn's approach to cloud infrastructure is hybrid in nature, leveraging both its own data centers and public
cloud resources to meet its business needs.

Enterprise Resource Planning (ERP) System: As a subsidiary of Microsoft Corporation, LinkedIn likely uses the
financial systems and processes already in place within Microsoft for its accounting needs. Microsoft uses SAP as its
primary ERP system, and it is likely that LinkedIn also uses SAP for its accounting processes.

Overall, LinkedIn's information systems play a crucial role in the company's decision-making processes by providing
timely and accurate data insights. These systems enable LinkedIn to create a personalized and engaging user
experience while driving revenue growth and improving operational efficiency.

Implications of Information Systems for LinkedIn

Decision making using IS

A World Connected with Smart Devices


"Connected World" refers to a world in which people, devices and systems connected with each other via the internet
or networks. The concept of a connected world is often associated with the Internet of Things (IoT), which refers to
the network of physical objects or "things" embedded with sensors, software, and connectivity that allows them to
collect and exchange data. In a connected world, these "smart" devices are used to optimize processes, enhance
efficiency, and improve overall performance. Leveraging “Smart Connected Devices” can help LinkedIn gain an edge
over its competitors:

Improved data collection and analysis: Smart connected products can provide LinkedIn with a wealth of data on
user behavior and preferences. It can improve the platform's functionality and user experience. Integrating newer
devices can help LinkedIn gather information that can shed light on key user usage trends. This could lead to new
features and services that cater to users' needs, helping to attract and retain more users, like:
 Smartwatches: LinkedIn could develop an app that would allow users to receive notifications and messages, view
their newsfeed, and access other features of the platform from their wrist.
 Smart speakers: integration with smart speakers like Amazon's Alexa or Google Home, allowing users to access
their profiles, receive updates, and even search for jobs or connect with other professionals using voice commands.
 Smart glasses: Smart glasses like Google Glass or Microsoft HoloLens could provide users with augmented reality
experiences that allow them to view and interact with LinkedIn profiles and other information in real-time.
 Smart business cards: Develop a smart business card that incorporates NFC technology or other connectivity
features, allowing users to easily exchange contact information with other professionals and connect on LinkedIn.
 Smart office equipment: Partner with manufacturers of smart office equipment like printers, scanners, and copiers
to allow users to easily share and collaborate on documents and other content through the platform.

Competitive advantage: LinkedIn could potentially attract new users and increase revenue.
Increased personalization: New and innovative ways to interact with the app helps in increasing the engagement
with the platform. It can provide users with personalized and relevant content based on their behavior and preferences.
New revenue streams: Smart connected products can open up new revenue streams for LinkedIn, such as through
new services and features that are only available to users who have certain smart connected products.

Integrating with smart connected products will bring with it a set of disadvantages like:

● Privacy concerns: privacy concerns among users can lead to a loss of trust and decreased usage.
● Technical issues: The implementation may require significant technical expertise and a related increase in
costs.
● Integration challenges: integration with existing systems could be time-consuming and expensive.
● Security risks: increase the risk of security breaches, data theft, and malware.
A System of Systems (SoS) is a complex system that is made up of multiple interrelated and independent systems,
each of which is designed to perform a specific function or task. In a SoS, the individual systems are often connected
through a communication network, which allows them to share data and collaborate in real-time. The overall
performance of a SoS is dependent on the performance of its individual systems as well as the effectiveness of
communication and collaboration between these systems. SoS can enable LinkedIn to better integrate with other
platforms and technologies, allowing users to access their LinkedIn profiles and information from a wider range of
devices and applications. It can also enable LinkedIn to gather and analyze data from a wider range of sources,
providing more comprehensive insights into user behavior, preferences, and trends. This could help LinkedIn tailor its
services and features to the needs of its users and develop new tools and solutions that are more effective at driving
engagement and user retention. A System of Systems can also enable LinkedIn to explore new business models and
revenue streams.

If LinkedIn is able to take advantage of “Smart Connected Products” and “System of Systems” it can greatly benefit
its business model. This can be evidenced by analyzing their affect the porter's five forces:

Threat of new entrants:


Smart, connected products are making it easier for people to get into many fields, like social media and business
networking. LinkedIn's market position could be threatened by new companies with smart, connected products that are
more user-friendly or use data analytics to offer more personalized networking solutions. To stay ahead of any new
competitors, LinkedIn will need to stay flexible and keep coming up with new ideas.

Bargaining power of suppliers:


Suppliers with smart networking product technology or components may have more bargaining power over LinkedIn.
LinkedIn may need to develop its own technologies or switch suppliers to reduce this risk.

Bargaining power of customers:


Smart connected products boost customer bargaining power by revealing professional networking opportunities and
services. Customers can easily compare platforms, read reviews, and access data on networking activity and
performance, making them more informed and demanding. LinkedIn may need to offer more personalized and data-
driven networking experiences using smart connected product insights to succeed.

Threat of substitutes:
A smart professional networking system that integrates multiple devices and technologies, such as AI-powered job
matching algorithms, may offer a more complete and seamless user experience than separate platforms. LinkedIn may
need to create smart connected products or partner with other companies to stay competitive.

Intensity of competitive rivalry:


To keep competing with sites like Glassdoor or Indeed, LinkedIn may need to invest in new technologies and
capabilities, such as AI, machine learning, and natural language processing, to develop and market its own smart
connected products.

To conclude, for LinkedIn to stay ahead of its competitors, it needs to leverage "Smart Connected Devices”.
Additionally, by implementing an SoS, LinkedIn can integrate with other platforms and technologies. This can help
LinkedIn tailor its services and features to the needs of its users, leading to increased engagement and user retention.
However, integrating with smart connected products and implementing an SoS also has its disadvantages too which
have been highlighted above.

Web 2.0: LinkedIn made possible

LinkedIn is a prime example of a Web 2.0 platform that has incorporated many of the key features and elements of the
movement. Some of the most significant aspects of Web 2.0 that are present on LinkedIn are:
User-generated Content

One of the primary features of Web 2.0 is the emphasis on user-generated content. This means that users are actively
creating and sharing content on the platform rather than simply consuming it. On LinkedIn, this takes the form of user
profiles, posts, articles, and comments.

LinkedIn allows users to create a detailed professional profile that includes their work experience, education, skills,
and achievements. This profile serves as the user's online resume and is a key component of their online presence.
Users can also create posts and articles on LinkedIn to share their thoughts, insights, and industry knowledge with
their network. This user-generated content is an essential part of the platform's value proposition.

Social Networking

LinkedIn allows users to connect with other professionals in their industry and build meaningful relationships.
LinkedIn's social networking features include sending and receiving connection requests, joining groups, and
participating in discussions. Users can also endorse and recommend their connections, which helps build their
credibility and expertise. These social networking features are a critical part of the platform's success. They enable
users to expand their professional network and build relationships that lead to new job opportunities and business
partnerships.

Collaboration

Web 2.0 platforms also emphasize collaboration. On LinkedIn, collaboration takes many forms, including group
discussions, project collaborations, and mentoring relationships. LinkedIn's group feature allows users to join or create
groups that are focused on specific topics or industries. This collaborative aspect of LinkedIn is especially valuable for
professionals who are seeking to learn from their peers, expand their knowledge, and build their skills.

Personalization

Web 2.0 platforms by design are highly personalized, meaning that they are tailored to the individual user's interests,
preferences, and needs. LinkedIn is no exception, as it offers a range of personalization features that help users
customize their experience on the platform.

One of the key personalization features on LinkedIn is the ability to follow specific companies or individuals.
LinkedIn also offers a personalized news feed that is based on the user's activity and interests, which helps to surface
relevant content and information.

Mobile Accessibility

Finally, Web 2.0 platforms are designed to be highly accessible, regardless of the device or location of the user. On
LinkedIn, this means that the platform is available on mobile devices through the LinkedIn app.The LinkedIn app
offers many of the same features and functionalities as the desktop platform. The mobile app also offers push
notifications.

Disruptive Technologies that can affect LinkedIn

Disruptive technologies are innovations or products of creativity that significantly alter the way that consumers,
industries, or businesses operate. Some examples of disruptive technologies are e-commerce, online news sites, ride-
sharing apps, GPS systems, blockchain, and artificial intelligence.

Web 3.0, a carrier of disruptive technologies, is certainly the next step in the evolution of the Internet. It utilizes
blockchain technology, which enables secure, transparent transactions and the management of customer data without
third-party intermediaries. The introduction of smart contracts automates payment processes, reducing business costs,
while artificial intelligence enables businesses to automate customer service, product recommendations, and fraud
detection.
Though LinkedIn has yet to make any major announcements regarding Web 3.0 initiatives, the platform can greatly
benefit from the adoption of disruptive technologies. Some of the potential elements of Web 3.0 that could be
integrated into LinkedIn in the future are discussed below:-

Artificial Intelligence (AI) and Machine Learning

In the context of LinkedIn, AI and Machine Learning could be used to improve the user experience by providing
personalized recommendations and insights. LinkedIn could use AI algorithms to recommend tailored job
opportunities or connections. The platform could also use machine learning to analyze user data and provide insights
into industry trends, job market demand, and career development opportunities.

Blockchain Technology

In the context of LinkedIn, Blockchain could be used to create a decentralized job market where users can connect
directly with employers without the need for intermediaries. Blockchain can be used to create a verified and tamper-
proof professional identity for users. This would enable users to have greater control over their data and credentials.

Virtual and Augmented Reality

In the context of LinkedIn, Virtual and Augmented Reality could be used to create virtual job fairs or networking
events. This would enable users to connect with potential employers and colleagues in a more engaging and
interactive way.

Semantic Web

In the context of LinkedIn, the Semantic Web could be used to create a more structured and interconnected data
environment. This would enable users to find and access relevant information more easily and quickly. For example,
users could search for specific skills or job titles and receive more accurate and relevant search results.

In conclusion, while LinkedIn is primarily a Web 2.0 platform, there are elements of Web 3.0 that can be implemented
as illustrated above. By incorporating these elements, LinkedIn could enhance the user experience, create new
opportunities for professionals, and establish itself as a leader in the next generation of the Internet. As Web 3.0
technologies continue to evolve and mature, LinkedIn will need to stay ahead of the curve to remain competitive and
relevant in the rapidly evolving digital landscape.

Looking Ahead: Web 3.0

Linkedin Learning

One recent initiative that may be relevant to the Web 3.0 context is LinkedIn Learning. In August 2021, LinkedIn
announced several updates to LinkedIn Learning, including new courses on hybrid work, diversity and inclusion, and
digital marketing. These updates suggest that LinkedIn is actively working to stay abreast of the latest trends and
developments in the digital space.

PlusOnePledge

Another initiative that may be relevant to Web 3.0 is LinkedIn's focus on building a more inclusive platform. In June
2021, LinkedIn launched a new initiative called #PlusOnePledge, which encourages members to pledge to invite at
least one person from an underrepresented community to join the platform. This initiative is in line with the Web 3.0
vision of a more decentralized and equitable Internet that fosters greater participation and collaboration among diverse
communities.

LinkedIn acquired Glint and Integrated it with Linkedin Learning


Glint is a human resources technology platform that helps companies measure and improve employee engagement,
retention, and performance. Glint can help LinkedIn in several ways like Personalization, Data- Driven decision-
making, blockchain integration and talent management. This will certainly lead to higher user engagement and
retention rates.

Acquisition of Drawbridge – Machine Learning and Data Analytics

In 2020, LinkedIn acquired a company called Drawbridge, which specializes in machine learning and data analytics.
This acquisition suggests that LinkedIn is actively exploring new ways to use data and AI to enhance the user
experience and generate more personalized insights and recommendations.

These initiatives demonstrate LinkedIn's commitment to innovation and continuous improvement, which will be
essential for the platform to remain competitive and relevant in the years to come.

Digital Transformation

In the current world of the web, the conventional means of sales and customer relationship management have changed
from sales professionals and business owners connecting physically with their target market to turning into a digital
format. The primary objective of CRM systems is to integrate sales, marketing, and customer service to help
streamline their respective activities. Thus, implementing a CRM system to automate the functional activities of the
company is in the good interest of the business owner(s) to record and make activities traceable, establish references
and relations between customer data, and measure wins and conversion rates with market intelligence.

CRM to pioneer digital transformation in sales management.

CRM can enable us to review the journey of the user from their initiation to till date. One such tool in LinkedIn’s
armory is the ‘Sales Navigator’ which has a well laid intuitive interface to help professionals increase coverage, sales
funnel, and other CRM objectives. ‘Sales Navigator’ built around a framework to enable sellers to reach a more
comprehensive set of buyers and decision-makers to help accelerate business growth significantly. It assists in better
customer engagement, delivering real-time valuable information and providing customer. Establishing contacts and
maintaining relations with key people in the domain has become crucial and easier with ‘Sales Navigator’..

Ethics, Green IT & Cyber Security

Learning outcomes

Group member wise contribution

During the initial discussions, organizations such as L&T, LinkedIn and PowerBI came up, but after further reflection
the team agreed to go ahead with LinkedIn. This was done because the group members come from varied work
backgrounds but all of us use LinkedIn for professional networking. We felt it was common to all of us.

Sandhya and Satish worked on the introduction along with an overview of the industry. Ashish worked on the MIS
overview of LinkedIn. The section about implications of IS for LinkedIn was worked on by Vikin, Sowmya, Nikhil
and Tushar. Decision Making using IS, smart connected devices and Disruptive technologies was contributed by
Vikin and Sowmya. Digital transformation and effect of CRM was contributed by Nikhil and Tushar. Ethics and cyber
security section was contributed by Sandhya.

Research, references and executive summary was done by Sowmya. Whole team participated in analyzing the report
and summarizing the learning outcomes.
References

1. https://about.linkedin.com/
2. https://socialimpact.linkedin.com/plusone
3. https://mulberrytalent.com/taking-the-plus-one-pledge-with-linkedin/
4. https://www.linkedin.com/pulse/how-web-30-change-future-ecommerce-loops-integrated-digital/
5. https://news.crunchbase.com/venture/linkedin-snaps-up-drawbridge-its-second-known-acquisition-in-8-
months/
6. https://www.linkedin.com/pulse/5-web-30-use-cases-change-your-business-forever-mobilumcom/?trk=pulse-
article
7. https://www.linkedin.com/pulse/web-30-next-revolution-internet-sens-vn/?trk=pulse-article
8. https://joshbersin.com/2020/05/glint-and-linkedin-learning-get-married-what-a-great-couple/
9. https://www.linkedin.com/pulse/new-internet-revolution-web-30-unusualenterprise/
10. https://www.linkedin.com/pulse/how-web-30-change-future-ecommerce-loops-integrated-digital/
11. https://www.linkedin.com/pulse/crm-digital-transformation-dao-nguyen/
12. https://www.linkedin.com/pulse/digital-transformation-marketing-crm-blazing-trail-thilo-k%C3%B6lzer/

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