1© 2013 Activate Networks, Inc.

617.558.0210 | info@activatenetworks.net | www. activatenetworks.net1 Newton Executive Park, Suite 100 | Newton, MA 02462 

2© 2013 Activate Networks, Inc. 2

617.558.0210 | info@activatenetworks.net | www. activatenetworks.net1 Newton Executive Park, Suite 100 | Newton, MA 02462 

Driving Innovation Through Social NetworksProf. Rob Cross, University of Virginia

Wed. Feb 27, 2012

3© 2013 Activate Networks, Inc. 3

The Company at a Glance

.

Sponsor of the Network Roundtable

Representative Members

Utilizes innovative social network analytic technology developed by Prof. Rob Cross of the University of Virginia

Users of ONA include major global organizations and industry leaders

A social network analytics company providing strategic tools that identify and understand the key social connections that drive commercial, organizational, and health results.

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Selected Current and Recent Customers

HealthcareandLife

Sciences

Energy

Other Corporate

Government

andNGO

Technology

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Presenter: Rob Cross

Professor of Management at University of Virginia’s McIntire School of Commerce

Founder and Research Director of The Network Roundtable

Senior Consultant for Activate Networks, Inc.

Author of Driving Results through Social Networks: How Top Organizations Leverage Networks for Performance and Growth

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1. Network Dimensions Underlying Innovation

2. Network Traps Derailing Innovation

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Networks are often under-appreciated in comparison to the formal structure.

Formal Structure

Sutherland

Smith

Crossley

Dhillon

Zaheer

Keller

Angelo

Schultz

Cordoza

Klimchuck

Mitchell

McWatters

Myers

Ramirez

Avery

Mares

Hopper

Hussan

Milavec

Waring

Informal Structure

Exploration & Production

Zaheer

Schultz

Mitchell

Klimchuck

Angelo

Keller

Smith

GeologyDhillon

Myers

PetrophysicalCrossley

ExplorationAvery

Cordoza

Sutherland

Ramirez

DrillingMcWatters

Waring

ProductionHussan

ReservoirHopper

ProductionMilavec

Senior Vice PresidentMares

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Realizing Innovation Potential Across Select Collaborative Silos

= NA

= ASIA

Region

Issue– Well known consumer

products organization driven depth in R&D expertise by investing heavily in a number of core capabilities. Very successful in driving incremental innovation but breakthrough products and cross-expertise group innovations had stalled.

Solutions– Managing global connectivity:

Rotation and targeted attention to connecting key people across regions (e.g., strategically important growth hub in Asia).

– Developing select cross-expertise integration plans: Identified 42 cross-expertise points likely to yield breakthrough innovation and took steps to promote connectivity at those points.

– Replicating networks of high performing NPD teams: Profiled networks of successful teams and embedded project management and process practices to encourage relevant reaching out.

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Key Network Roles In Groups You Care AboutCentral Connectors:

1. Are central because they have a large number of connections…often concentrated within a unit, geography, expertise domain or demographic.

2. Are important because they are key opinion leaders and impact innovation trajectories…yet can also be key susceptibilities (should they leave) and create a form of innovator’s dilemma. innovator’s dilemma.

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Key Network Roles In Groups You Care AboutBrokers:

1. Are central because they have more bridging connections across sub-groups…typically across units, geographies, expertise domains, hierarchical levels, sub-cultures or demographics.

2. Are important because they tend to be effective at integrating different knowledge domains…yet are often less known than central connectors. than central connectors.

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Key Network Roles In Groups You Care AboutPeripheral Players:

1. Are peripheral because they have few network connections. Often newcomers, experts and those managing work life balance.

2. Appropriate leverage of some (e.g., experts or new hires) ensures innovative ideas are not just brought into the organization but also become influential in the network.

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Developing Network Responsiveness

Solutions– Re-structure face to face

and virtual meeting formats: Employ mechanisms that create awareness of expertise and vision for integration.

– Paper or electronic expertise profiles: Critical to contain professional information that creates legitimacy and personal information that creates approachability.

– Web 2.0 technologies: Wikis and other tools can take work out of the network and build awareness of expertise.

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1. Network Dimensions Underlying Innovation

2. Network Traps Derailing Innovation

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Domination of networks by particular perspectives and expertise unwittingly creating an innovator’s dilemma trap.

Insularity keeping an organization from effectively leveraging external expertise.

Aventis

External to Aventis

Glimcher L

Fragmentation of networks at points that invisibly undermine efforts to innovate along desired trajectories.

Aventis

External to Aventis

Glimcher L

Insularity keeping an organization from effectively leveraging external expertise.

Hidden Network Biases to Innovation

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Correcting Network Overload When It Is Stalling Innovation and Execution

Example: 71 people identified Person A as an effective source of info and 27 responded that greater access to him is critical to improving their effectiveness.

Person A

Issue:– Hidden bottlenecks can

invisibly slow down the work of everyone (when these over-loaded people feel busy and like things are happening).

Solutions– Structural: Re-allocation of

decision-rights, providing broader information access, delegation/addition of roles and formalized decision-flows.

– Relational: Defining and re-routing routine decisions (e.g., various personnel decisions, travel, resourcing efforts, clinical protocol and protocol design, modeling and simulation).

– Skill Development: Building alternative sources of expertise, behavioral modeling and coaching.

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Decreasing Relational Load Is Important For BOTH Performance and Engagement/Retention in Matrices

0% 10% 20% 30% 40% 50%0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

% of Colleagues Desiring Greater Access

% o

f C

oll

eag

ues

Rat

ing

th

e In

div

idu

al a

s an

Eff

ecti

ve S

ou

rce

of

In-

form

atio

n

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Voice In A New Product Development Team Network Diagram Based on Response: In either one-on-one conversations or meetings, my interactions with each person below can typically be characterized as: extremely guarded -- I am unlikely to take risks with ill-formed thoughts or ideas.

On average, people identified 4.5 others with

whom they are “extremely guarded” in

terms of sharing thoughts and ideas. The minimum and maximum times that a person was cited by others was 1-13.

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A Highly Energized Network…

= Level 1

= Level 3= Level 2

Hierarchy

= Level 4

Question: “When you interact with this person, how does it affect your energy level?”

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Energy (and Energizers) Matters More Than You Might Think… Energizers get more from those around them.

― People are more engaged in a given conversation and are more likely to devote discretionary time to these issues.

People tend to be more innovative and creative with energizers.

Energizers tend to win out in the internal labor market and with customers.

― Ability to motivate others is as, or more, important than knowing the answer. Energizers promote work satisfaction and

learning among those around them.

Energy spills over into follow-on interactions.― De-energizers can be deadly on this front.

20© 2013 Activate Networks, Inc. 20

Do You Create Energy Around You?● Creates Personal

Connection

● Builds Reciprocity

● Follows Through On Commitments

● Stands For Something Larger Than Self

Flexible

Disagrees Productively

Helps Others Contribute

Is Attentive in Meetings

Engages in Possibilities

21© 2013 Activate Networks, Inc. 21

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Questions? Use the Q&A widget to ask questions

Simply type your questions into the Q&A widget on the right side of your screen, and click “send”

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For More Information: ActivateNetworks.net

Contact Dave Parkhurst: DParkhurst@ActivateNetworks.net

24© 2012 Activate Networks, Inc.

25© 2013 Activate Networks, Inc. 25

Questions? Use the Q&A widget to ask questions

Simply type your questions into the Q&A widget on the right side of your screen, and click “send”

Can’t find the Q&A widget? Mouse over the webinar options at the top of your screen, and click the Q&A button

For More Information: ActivateNetworks.net

Contact Dave Parkhurst: DParkhurst@ActivateNetworks.net

26© 2013 Activate Networks, Inc. 26

Questions? Use the Q&A widget to ask questions

Simply type your questions into the Q&A widget on the right side of your screen, and click “send”

Can’t find the Q&A widget? Mouse over the webinar options at the top of your screen, and click the Q&A button

For More Information: ActivateNetworks.net

Contact Dave Parkhurst: DParkhurst@ActivateNetworks.net