Leveraging Networks and Social Leveraging Networks and Social Media for Improved PerformanceMedia for Improved Performance

Dr. Robin Teigland, akaDr. Robin Teigland, aka

Karinda Rhode in SLKarinda Rhode in SL

Stockholm School of EconomicsStockholm School of EconomicsAssociate ProfessorAssociate Professor

www.knowledenetworking.orgwww.knowledenetworking.org

www.slideshare.net/eteiglandwww.slideshare.net/eteigland

Photo: Lundholm, Metro

November 2009November 2009ww.ifl.seww.ifl.se

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Introduction to social media and Introduction to social media and networks networks −Why the interest?Why the interest?−What are networks?What are networks?−What about performance?What about performance?

Leveraging social media and Leveraging social media and networksnetworks−How can they create value?How can they create value?−Are there any benefits or is it all hype?Are there any benefits or is it all hype?−What are some challenges?What are some challenges?

Today’s discussionToday’s discussion

33

"...when the rate of change "...when the rate of change outside an organization is outside an organization is greater than the rate of greater than the rate of change inside, the end is change inside, the end is near...." near...."

Jack Welch…Jack Welch…

A world of rapidly growing knowledge ….A world of rapidly growing knowledge ….

>>A person’s lifetimeA person’s lifetime

in 18th centuryin 18th centuryOne weekOne week

20092009

Fischbowl 2007Fischbowl 2007 44

……that becomes quickly outdated ….that becomes quickly outdated ….

50%knowledge

relevant

50%50%knowledgeknowledgeoutdatedoutdated

First year of First year of technical-based technical-based

educationeducation

First year of First year of technical-based technical-based

educationeducation Third yearThird yearof educationof educationThird yearThird year

of educationof education

55

6

Did You Know: Shift HappensDid You Know: Shift Happenshttp://www.youtube.com/watch?http://www.youtube.com/watch?

v=jpEnFwiqdx8&feature=fvstv=jpEnFwiqdx8&feature=fvst

How are these trends affecting you How are these trends affecting you and your organization?and your organization?

GrowthGrowth

TimeTime

Information and Information and knowledgeknowledge

Human Human absorptive absorptive capacitycapacity

Human capacity cannot keep up…Human capacity cannot keep up…

Cohen & Levinthal 1989Cohen & Levinthal 1989 77

88

””No one knows everything, No one knows everything,

everyone knows something, everyone knows something, all knowledge resides in all knowledge resides in

humanity.”humanity.”networksnetworks

Adapted from Lévy 1997

1010

The wisdom of the crowdThe wisdom of the crowd

ClosedClosedExpensiveExpensiveComplexComplexAccurateAccurate

OpenOpenInexpensiveInexpensive

SimpleSimpleClose enoughClose enough

Hinton 2007

1111

Leveraging external resources to find Leveraging external resources to find solutions and solve unsolved problemssolutions and solve unsolved problems

A shift from being A shift from being problem solvers to solution finders problem solvers to solution finders

History tends to repeat itself….History tends to repeat itself….Innovation, financial crisis, industrial revolution, Innovation, financial crisis, industrial revolution,

… …

1212

Steam Steam engineengine

Internal Internal combustion combustion

engineengine

MicroelectroniMicroelectronicscs

Late 18Late 18thth C C Late 19Late 19thth C C Late 20Late 20thth C C

Schön 2008

Third industrial revolution?

A new workforce is appearing…A new workforce is appearing…

1313Mahaley 2008, Merrill Lynch 1999, Beck and Wade, PrenskyMahaley 2008, Merrill Lynch 1999, Beck and Wade, Prensky

““Digital Immigrants”Digital Immigrants”““Digital Natives”Digital Natives”

Company loyaltyCompany loyaltyWork ≠ PersonalWork ≠ Personal

Learning=Behind the deskLearning=Behind the desk

Company loyaltyCompany loyaltyWork ≠ PersonalWork ≠ Personal

Learning=Behind the deskLearning=Behind the desk

Professional loyaltyProfessional loyaltyWork = PersonalWork = Personal

Learning=Fun and gamesLearning=Fun and games

Professional loyaltyProfessional loyaltyWork = PersonalWork = Personal

Learning=Fun and gamesLearning=Fun and games

Digital nativesDigital natives

http://www.youtube.com/watch?v=MbX_I2fuqJkhttp://www.youtube.com/watch?v=MbX_I2fuqJk1414

•ControlControl•CommunityCommunity

•CollaborationCollaboration•ChallengeChallenge•CreationCreation

1616

Building skills in virtual environmentsBuilding skills in virtual environments

My CVMy CV•Leading a virtual team of 30 Leading a virtual team of 30

individuals from across the globeindividuals from across the globe•Creating and successfully Creating and successfully executing strategies under executing strategies under

pressurepressure•Managing cross-cultural conflict Managing cross-cultural conflict

without face-to-face without face-to-face communicationcommunication

1717

My company has blocked my computer from

accessing most of the social media sites. But I feel so cut off from my network. So, now I just connect through my

phone.

Management Management cannot mandatecannot mandate social relationships social relationships

2020

Increasing pressure on Increasing pressure on “traditional” organizations“traditional” organizations

Formal organization/ Formal organization/ Hierarchy Hierarchy

Social organization /Social organization /HeterarchyHeterarchy

Teigland et al. 2005Teigland et al. 2005

What is a network?What is a network?

A set of actors connected by tiesA set of actors connected by ties

•Ties/LinksTies/Links−Knowledge, trust, Knowledge, trust, team, sit by, dislike, team, sit by, dislike, etc.etc.−Alliance, customer, Alliance, customer, investment, etc.investment, etc.

TieTie

•Actors/NodesActors/Nodes−IndividualsIndividuals−Teams, Teams, organizations, etc.organizations, etc.

ActorActor

2222

2323

BA

Two individuals/organizations with the Two individuals/organizations with the same number of contacts…same number of contacts…

……but with very different access to resourcesbut with very different access to resources

BA

2424

Network dynamics impact Network dynamics impact creativity and innovation….creativity and innovation….

Firm AFirm A

LowLowon-timeon-time

HighHighCreative Creative

HighHighon-timeon-time

Low Low creative creative

Teigland 2003Teigland 2003

HighHighcreativecreative

VirtualVirtualcommunitycommunity

Firm BFirm B

2525

..and organizational failure..and organizational failure

http://www.enronexplorer.com/focus/19185# 2727

Social media enable value creation in Social media enable value creation in networksnetworks

Finding and connecting with people Finding and connecting with people internally and externallyinternally and externally

Building communitiesBuilding communities Sharing information & knowledgeSharing information & knowledge Solving problems & finding solutionsSolving problems & finding solutions Learning informallyLearning informally

Overcoming diversity challengesOvercoming diversity challengesthrough creating collective through creating collective competencecompetence Shared understandingShared understanding Shared language and normsShared language and norms

2828

Corporate Top down Centralized Command & control Monolithic systems Explicit knowledge - reuse Knowledge objects

Taxonomies People finders Databases E-mail Newsletters Discussion forums

Personal Bottom up Decentralized, distributed Facilitate, collaborate Ecosystems Tacit knowledge - mobilize Knowledge flow

Social tagging Social networking Blogs & wikis Instant messaging RSS feeds & readers Blogs

KM 1.0 – Repository model KM 2.0 – Networking model

Gurteen 2008, Alavi, 2000

Comparison of KM tools

Social media tools facilitate KM 2.0Social media tools facilitate KM 2.0

2929

Wenger 1998, Hinton 2007

Social media enable Social media enable truetrue communities of communities of practicepractice

3232

Usage of Web 2.0Usage of Web 2.0

3333McKinsey Quarterly, Sep 2009 McKinsey Quarterly, Sep 2009

1088 respon1088 respon

eZ Wire enables global conversations…eZ Wire enables global conversations…

3535

3737

Trust & reciprocity Trust & reciprocity are essential for are essential for

knowledge knowledge exchange in exchange in

networksnetworks

3838

IBM’s Atlas shows the social network of a IBM’s Atlas shows the social network of a topictopic

and how to get to someoneand how to get to someone

Poole 2008

4040

Creating new and strengthening existing Creating new and strengthening existing relationships through Facebookrelationships through Facebook

•#1 Applications Lifecycle Management (ALM) & business mashup•96 of Fortune 100 as customers•800 employees in 18 countries across globe •Facebook Fridays: One hour every Friday on Facebook to find fun and connect with co-workers, customers, family, and friends•Average employee age: 46•27 year old Silicon Valley company• >90% of employees on FB

4141

Proximal collaborationProximal collaboration

When people are more than 50 When people are more than 50 feet apart, the likelihood of feet apart, the likelihood of

them collaborating more than them collaborating more than once a week is less than once a week is less than

10%.10%.Allen 1984Allen 1984

4343

Companies are turning to virtual worlds to Companies are turning to virtual worlds to facilitate the virtual workforce – facilitate the virtual workforce –

“Immernets”“Immernets”

•Completely private virtual business worlds offering Completely private virtual business worlds offering tools to conduct business and collaboratetools to conduct business and collaborate

•Fortune 500: IBM, Intel, Johnson & Johnson, Fortune 500: IBM, Intel, Johnson & Johnson, Motorola, Novartis, Sun, UnileverMotorola, Novartis, Sun, Unilever

•Intel saved USD 265,000 through virtual Intel saved USD 265,000 through virtual conferenceconference

What about business results?What about business results?

Survey of 1700 execs worldwide by McKinseySurvey of 1700 execs worldwide by McKinsey Value from Web 2.0 internal use (% respondents)Value from Web 2.0 internal use (% respondents)

• Increased speed of knowledge access – 68%Increased speed of knowledge access – 68%• Reduced communication costs – 54%Reduced communication costs – 54%• Improved access to knowledge experts – 43%Improved access to knowledge experts – 43%• Reduced travel costs – 40%Reduced travel costs – 40%• Improved employee satisfaction – 35%Improved employee satisfaction – 35%• Decreased time to market for products/services and Decreased time to market for products/services and

increased innovation – 25%increased innovation – 25%• Increased revenue – 14%Increased revenue – 14%

Increased impact if web 2.0 integrated into Increased impact if web 2.0 integrated into employees daily work activitiesemployees daily work activities

5252McKinsey Quarterly, Sep 2009 McKinsey Quarterly, Sep 2009

Intuit’s BrainstormIntuit’s Brainstorm

5454

http://billives.typepad.com/portals_and_km/2009/10/intuit-brainstorm-offers-innovation-management.html

Intuit’s Brainstorm enables grassroots Intuit’s Brainstorm enables grassroots innovationinnovation

Focus on ideas and collaborative innovation Focus on ideas and collaborative innovation instead of on people and tracking innovationinstead of on people and tracking innovation

Ideas are profiled and tagged enabling search Ideas are profiled and tagged enabling search for potential helpers and relevant projectsfor potential helpers and relevant projects

Helpers from anywhere in the organization can Helpers from anywhere in the organization can search for ideas seeking helpsearch for ideas seeking help

Collaboration through discussion boardsCollaboration through discussion boards ““Leaderboard” enables recognition of top Leaderboard” enables recognition of top

contributors contributors ResultsResults

−1000% increase in Ideation and increased idea 1000% increase in Ideation and increased idea quality quality

− Decreased time to market (3 mos for Decreased time to market (3 mos for ViewMyPaycheck)ViewMyPaycheck)

− Increased employee satisfaction Increased employee satisfaction 5656

5757

However, there are challenges….However, there are challenges….

Resistance from top managementResistance from top management Difficulty to measure and validate value of Difficulty to measure and validate value of

web 2.0web 2.0 Knowledge trading and leakage outside of firmKnowledge trading and leakage outside of firm Social overload and role conflictSocial overload and role conflict Poor organizational stewardshipPoor organizational stewardship

Web 2.0 and social networking are typically of a more grassroots nature – their implementation in more traditional hierarchical organizations may result in tension between employees and management

Hustad & Teigland 2008 5858

Fortune 100 CEOs study by ÜBERCEOFortune 100 CEOs study by ÜBERCEO

As of June 2009As of June 2009 Only 2 CEOs have Twitter accounts but no Only 2 CEOs have Twitter accounts but no

activityactivity 13 CEOs have LinkedIn profiles and of those 13 CEOs have LinkedIn profiles and of those

only 3 have more than 10 connections only 3 have more than 10 connections 19% of CEOs have a personal Facebook page 19% of CEOs have a personal Facebook page

but less than 15 friendsbut less than 15 friends 75% of CEOs have some kind of Wikipedia 75% of CEOs have some kind of Wikipedia

entry, but nearly 33% of those have limited or entry, but nearly 33% of those have limited or outdated informationoutdated information

0% have a blog0% have a blog

5959http://www.slideshare.net/shazza/fortune-100-ceos-and-social-media?http://www.slideshare.net/shazza/fortune-100-ceos-and-social-media?type=presentationtype=presentation

Treat like any change projectTreat like any change project

Kotter 1996

2. Form a powerful guiding coalition2. Form a powerful guiding coalition

1. Establish a sense of urgency1. Establish a sense of urgency

3. Create a vision3. Create a vision

8. Anchor new approaches8. Anchor new approaches

4. Communicate the vision 4. Communicate the vision

5. Empower others to act on the vision5. Empower others to act on the vision

6. Plan for and create short-term wins6. Plan for and create short-term wins

7. Consolidate improvements and produce more change7. Consolidate improvements and produce more change

So, what does all this mean?So, what does all this mean?

Organizations have to develop their networks Organizations have to develop their networks globally - both inside and outglobally - both inside and out

Organizations have to leverage social mediaOrganizations have to leverage social media− To win the war for talent To win the war for talent

− To innovate for competitive advantageTo innovate for competitive advantage

Organizations have to develop their Organizations have to develop their employees’ network leadership skillsemployees’ network leadership skills

Organizations have to cultivate an open, Organizations have to cultivate an open, knowledge sharing cultureknowledge sharing culture

6666

If you love knowledge, set it free…

6767

A new opportunity???A new opportunity???

Changing the mindsetChanging the mindset

Thanks and Thanks and see you in world!see you in world!

Karinda RhodeKarinda Rhode

aka Robin Teiglandaka Robin Teiglandrobin.teigland@hhs.serobin.teigland@hhs.se

www.knowledgenetworking.www.knowledgenetworking.orgorg

www.slideshare.net/www.slideshare.net/eteigland eteigland

Thanks and Thanks and see you in world!see you in world!

Karinda RhodeKarinda Rhode

aka Robin Teiglandaka Robin Teiglandrobin.teigland@hhs.serobin.teigland@hhs.se

www.knowledgenetworking.www.knowledgenetworking.orgorg

www.slideshare.net/www.slideshare.net/eteigland eteigland

6969

Photo by H. Lindholm, Metro

Sources and acknowledgementsSources and acknowledgements Books

− Barabási, Linked: The New Science of Networks. Perseus, 2002− Burt, Structural Holes, 1992− Castells, The Rise of the Network Society. Blackwell, 2000− Cross & Parker, The Hidden Power of Social Networks. Harvard Business

School, 2004− Gladwell, The Tipping Point. Abacus, 2001− Scott, Social Network Analysis. Sage, 2000− Teigland, Knowledge Networking, SSE, 2003− Teten & Allen, The Virtual Handshake. American Management Assoc., 2007

Homepages − Wayne Baker, webuser.bus.umich.edu/wayneb/− Stephen Bird, people.bu.edu/sbird− Steve Borgatti, www.socialnetworkanalysis.com− Rob Cross, www.robcross.org− International Network for Social Network Analysis http://www.insna.org/− David Krackhardt, www.andrew.cmu.edu/user/krack/index.shtml− Valdis Krebs, www.orgnet.com− Fredrik Liljeros, www.sociology.su.se/home/Liljeros/index.html− Steve Mahaley, www.dukece.com− James Moody, www.soc.duke.edu/~jmoody77/presentations/index.htm − Giancarlo Oriani, www.informalorg.eu (In Italian)− Barry Wellman, www.chass.utoronto.ca/~wellman/

Books− Barabási, Linked: The New Science of Networks. Perseus, 2002− Burt, Structural Holes, 1992− Castells, The Rise of the Network Society. Blackwell, 2000− Cross & Parker, The Hidden Power of Social Networks. Harvard Business

School, 2004− Gladwell, The Tipping Point. Abacus, 2001− Scott, Social Network Analysis. Sage, 2000− Teigland, Knowledge Networking, SSE, 2003− Teten & Allen, The Virtual Handshake. American Management Assoc., 2007

Homepages − Wayne Baker, webuser.bus.umich.edu/wayneb/− Stephen Bird, people.bu.edu/sbird− Steve Borgatti, www.socialnetworkanalysis.com− Rob Cross, www.robcross.org− International Network for Social Network Analysis http://www.insna.org/− David Krackhardt, www.andrew.cmu.edu/user/krack/index.shtml− Valdis Krebs, www.orgnet.com− Fredrik Liljeros, www.sociology.su.se/home/Liljeros/index.html− Steve Mahaley, www.dukece.com− James Moody, www.soc.duke.edu/~jmoody77/presentations/index.htm − Giancarlo Oriani, www.informalorg.eu (In Italian)− Barry Wellman, www.chass.utoronto.ca/~wellman/

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Sources and acknowledgements (cont’d)Sources and acknowledgements (cont’d) Articles and Research PapersArticles and Research Papers

− Cross, Baker, & Parker, “What creates energy in organizations?”, Cross, Baker, & Parker, “What creates energy in organizations?”, Sloan Management ReviewSloan Management Review, Summer 2003., Summer 2003.

− Cross, Parise, & Weiss, “Driving Strategic Change with a Network Cross, Parise, & Weiss, “Driving Strategic Change with a Network Perspective”, Network Roundtable working paper, 2006.Perspective”, Network Roundtable working paper, 2006.

− Kleinbaum, Stuart, Tushman, Communication (and Coordination?) in a Kleinbaum, Stuart, Tushman, Communication (and Coordination?) in a Modern, Complex Organization, HBS working paper, Modern, Complex Organization, HBS working paper, http://www.hbs.edu/research/pdf/09-004.pdfhttp://www.hbs.edu/research/pdf/09-004.pdf

− Ibarra & Hunter, “How Leaders Create and Use Networks”, HBR, 2007.Ibarra & Hunter, “How Leaders Create and Use Networks”, HBR, 2007.- Coleman, D. Virtual Team Spaces, 2006.Coleman, D. Virtual Team Spaces, 2006.- Connaughton, SL & Daly, JA, “Leading from Afar: Strategies for Connaughton, SL & Daly, JA, “Leading from Afar: Strategies for

Effectively Leading Virtual Teams” in Effectively Leading Virtual Teams” in Virtual Collaborative Teams: Virtual Collaborative Teams: Process, Technologies, & Practice Process, Technologies, & Practice (S. H. Godar & S. P. Ferris, Eds.).(S. H. Godar & S. P. Ferris, Eds.).

- Lipnack, J. & Stamps, Lipnack, J. & Stamps, Virtual Teams: Reaching Across Space, Time, Virtual Teams: Reaching Across Space, Time, and Organizations with Technologyand Organizations with Technology. John Wiley & Sons, Inc.: New . John Wiley & Sons, Inc.: New York, 1997.York, 1997.

- Maznevski, M. High performance from global virtual teams, 2001.Maznevski, M. High performance from global virtual teams, 2001.- Ruuska, I. & Teigland, R. 2009 (Forthcoming). “Ensuring Project Ruuska, I. & Teigland, R. 2009 (Forthcoming). “Ensuring Project

Success through Collective Competence and Conflict Management in Success through Collective Competence and Conflict Management in Public-private Partnerships: A Case Study of a Swedish Triple Helix e-Public-private Partnerships: A Case Study of a Swedish Triple Helix e-government Initiative”. government Initiative”. International Journal of Project ManagementInternational Journal of Project Management..

- Schermerhorn, Jr., J., Schermerhorn, Jr., J., ManagementManagement, 2004., 2004.

Articles and Research PapersArticles and Research Papers− Cross, Baker, & Parker, “What creates energy in organizations?”, Cross, Baker, & Parker, “What creates energy in organizations?”,

Sloan Management ReviewSloan Management Review, Summer 2003., Summer 2003.− Cross, Parise, & Weiss, “Driving Strategic Change with a Network Cross, Parise, & Weiss, “Driving Strategic Change with a Network

Perspective”, Network Roundtable working paper, 2006.Perspective”, Network Roundtable working paper, 2006.− Kleinbaum, Stuart, Tushman, Communication (and Coordination?) in a Kleinbaum, Stuart, Tushman, Communication (and Coordination?) in a

Modern, Complex Organization, HBS working paper, Modern, Complex Organization, HBS working paper, http://www.hbs.edu/research/pdf/09-004.pdfhttp://www.hbs.edu/research/pdf/09-004.pdf

− Ibarra & Hunter, “How Leaders Create and Use Networks”, HBR, 2007.Ibarra & Hunter, “How Leaders Create and Use Networks”, HBR, 2007.- Coleman, D. Virtual Team Spaces, 2006.Coleman, D. Virtual Team Spaces, 2006.- Connaughton, SL & Daly, JA, “Leading from Afar: Strategies for Connaughton, SL & Daly, JA, “Leading from Afar: Strategies for

Effectively Leading Virtual Teams” in Effectively Leading Virtual Teams” in Virtual Collaborative Teams: Virtual Collaborative Teams: Process, Technologies, & Practice Process, Technologies, & Practice (S. H. Godar & S. P. Ferris, Eds.).(S. H. Godar & S. P. Ferris, Eds.).

- Lipnack, J. & Stamps, Lipnack, J. & Stamps, Virtual Teams: Reaching Across Space, Time, Virtual Teams: Reaching Across Space, Time, and Organizations with Technologyand Organizations with Technology. John Wiley & Sons, Inc.: New . John Wiley & Sons, Inc.: New York, 1997.York, 1997.

- Maznevski, M. High performance from global virtual teams, 2001.Maznevski, M. High performance from global virtual teams, 2001.- Ruuska, I. & Teigland, R. 2009 (Forthcoming). “Ensuring Project Ruuska, I. & Teigland, R. 2009 (Forthcoming). “Ensuring Project

Success through Collective Competence and Conflict Management in Success through Collective Competence and Conflict Management in Public-private Partnerships: A Case Study of a Swedish Triple Helix e-Public-private Partnerships: A Case Study of a Swedish Triple Helix e-government Initiative”. government Initiative”. International Journal of Project ManagementInternational Journal of Project Management..

- Schermerhorn, Jr., J., Schermerhorn, Jr., J., ManagementManagement, 2004., 2004.

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Sources and acknowledgements (cont’d)Sources and acknowledgements (cont’d) Presentations and blogsPresentations and blogs

− Gurteen, Online Information 2007: KM goes Social, Gurteen, Online Information 2007: KM goes Social, http://www.slideshare.net/dgurteen/km-goes-social-194717http://www.slideshare.net/dgurteen/km-goes-social-194717

− Poole, IBM: Web 2.0 goes to work, Poole, IBM: Web 2.0 goes to work, http://www.slideshare.net/jward5519/ibm-web-2-0-goes-to-http://www.slideshare.net/jward5519/ibm-web-2-0-goes-to-work-presentation’work-presentation’

− http://www.b2bvoices.com/− http://socialmediab2b.com/− http://blog.kinaxis.com/http://blog.kinaxis.com/

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