Leveraging networks for improved performance

Leveraging Social Networks for Improved
Performance
Professor Robin Teigland
Stockholm School of Economics
www.slideshare.net/eteigland
RobinTeigland
March 2016
www.hhs.se

Who am I? (LinkedIn Inmaps)
SSE
Exec Ed
Swedish
Industry
Research
Wharton
Stanford
McKinsey
vonorange.com

Today’s discussion
Leveraging networks
− Background
− Organizational network analysis
− Personal network analysis
Third Industrial Revolution
− Exploring new forms of value creation
3

What most people think of when they hear
“social networks”
4

Then…
Thx to R. Wieselfors, Ericsson for photos

…Now
Thx to R. Wieselfors, Ericsson for photos

7
Six degrees of separation
- Milgram, 1967
Image: http://www.deliveringhappiness.com/on-six-degrees-of-separation/

But the number of degrees is falling…
8http://www.telegraph.co.uk/technology/facebook/8906693/Facebook-cuts-six-degrees-of-separation-to-four.html

Increasing focus on network science
9

Hidden influence of social networks
10http://www.ted.com/talks/lang/en/nicholas_christakis_the_hidden_influence_of_social_networks.html
Happy people
In between people
Unhappy people
Christakis & Fowler, 2011

”No one knows everything,
everyone knows something,
all knowledge resides in humanity.”networks
Adapted from Lévy 1997
Six degrees of
separation
- Milgram, 1967
Image: Krebs

What is a network?
A set of actors connected by ties
•Ties/Links
−Knowledge, trust,
team, sit by, dislike, etc.
−Alliance, customer,
investment, etc.
Tie
•Actors/Nodes
−Individuals
−Teams,
organizations, etc.
Actor
14

Social network analysis has a long history
and is based on matrix algebra and graph theory
15
http://en.wikipedia.org/wiki/Social_network

Background
 Organizational network analysis
 Personal network analysis
16

Knowledge flows along
existing pathways in organizations.
If we want to understand how to
improve the flow of knowledge,
we need to understand
those pathways.
Larry Prusak, Founder
Institute for Knowledge Management

19
Uncovering networks in an organization
Formal organization Informal organization
Teigland et al. 2005

What do you notice about the informal network?
20Cross, Introduction to organizational network analysis

Revealing the informal hierarchy
21Brandes, Raab and Wagner (2001)
Organization chart shows
how authority ties should
look…
… but sociograph of
actual advice-seeking …
… can be
restructured to
reveal “real”
hierarchy!
Knoke

Some positions are more important than others
22Anklam 2009

23
Myths about networks
 I already know what is going on in my network
 We can’t do much to help informal networks
 To build networks, you have to communicate
more
Adapted from Cross et al. 2002

24
With which colleagues do you discuss everyday technical
issues/work-related problems at least once a week?
Schenkel & Teigland 2011
Red=Male
Blue=Female
=Left org

25
With which colleagues do you discuss exciting new
ideas and better ways of getting things done?
Red=Male
Blue=Female
=Left org

”Birds of a feather flock together”
“Lika barn leka bäst”
People find similar people attractive and develop
relations with people like themselves
Our networks tend to be homogeneous
and not heterogeneous
Marsden 1987, Burt 1990 26

Stockholm
London
Brussels
Helsinki
Madrid
Copenhagen
“Information brokers” between locations
Transferred from
Stockholm
Teigland 1998
San Francisco
27

Knowledge sharing across client teams
28

Knowledge sharing across client teams
29

30
Proximal collaboration
When people are more than 50
feet apart, the likelihood of them
collaborating more than once a
week is less than 10%.
- Allen 1984

New ideas flow
from outside
into organization
through informal
networks
What happens to
them after
entering the
organization?
31Whelan & Teigland 2010
Where does much of innovation start?

32
BA
Two individuals with the same number of
contacts…

…but with very different access to resources
B
A
33

A
Poor
creativity and
innovative
performance
High
creativity and
innovative
performance
Teigland 2003
B

Avoid creating insular networks
http://www.enronexplorer.com/focus/19185# 35

Network structure affects performance
36
Division 1 Division 2
Improved efficiency
over time
Stagnant performance
over time
Two divisions within Sundlink (Öresund Bridge)

37
Myths and reality checks
 I already know what is going on in my network
 Those who think they know their network the
best are usually the ones who know the least
 We can’t do much to help informal networks
 Informal networks can be “managed” through
changing the organizational context
 To build networks, you have to communicate more
 Networks can be strategically developed
Adapted from Cross et al. 2002

38
“Managing” networks in your organization
Before After
Cross; Anklam & Welch 2005
1. Uncover networks
2. Analyze networks
3. Improve connectedness

ONA Actions
•Identify overly connected people
•Bridge invisible network silos
•Create awareness of distributed
expertise
•Bring in peripheral players
ONA Results
•24% rise in customer satisfaction
•66% reduced cost of poor quality
•22% increase in new product
revenue
•10% improved operational
productivity
U.S.
Brazil
Angola
Saudi
Arabia
Canada
U.K.
Nigeria
U.S.Gulf of
Mexico
Brazil
Angola
UK
Canada
Saudi Arabia
Nigeria
U.S.
Brazil
Angola
Saudi
Arabia
Canada
U.K.
Nigeria
U.S.Gulf of
Mexico
Brazil
Angola
UK
Canada
Saudi Arabia
Nigeria
U.S.
Brazil
Angola
Saudi
Arabia
Canada
U.K.
Nigeria
U.S.
Brazil
Angola
Saudi
Arabia
Canada
U.K.
Nigeria
U.S.Gulf of
Mexico
Brazil
Angola
UK
Canada
Saudi Arabia
Nigeria
Significantly improved performance
Gulf of
Mexico
Brazil
Angola
UK
Canada
Saudi
Arabia
Nigeria
Gulf of
Mexico
Brazil
Angola
UK
Canada
Saudi
Arabia
Nigeria
Cross 2010

Conduct your own ONA
1. Uncover strategically important networks
− Collaboration generally poor across functional,
physical, hierarchical, and organizational lines
− Meaningful, actionable relationships, e.g.,
information flow, knowledge sharing, trust,
decision-making
2. Collect and analyze data
− E.g., email, survey, interview, observation
− Visually map data
3. Improve connectedness
− Create meaningful feedback sessions
40Cross, Introduction to organizational network analysis

Some questions to ask
 Communication: How often do you talk with the
following people regarding (topic x)?
 Information: Who do you typically seek work-
related information from?
 Problem-solving: Who do you typically turn to for
help in thinking through a new or challenging
problem?
 Knowing: How well do you understand this person’s
knowledge and skills?
 Access: Who is generally accessible to you within a
sufficient amount of time to help solve a problem?
41Cross et al 2002

Analyze and visualize data
42
http://en.wikipedia.org/wiki/Social_network_analysis_software18

43
http://nodexl.codeplex.com/

Background
44

45
So, what does this mean for you?
 An actor’s position in a social network, i.e.,
social capital, determines in part the actor’s
opportunities and constraints
Casper & Murray 2002
German
biotech
scientists

Bridging unconnected groups brings advantages
•More rapid promotions
•Greater career mobility
•Higher salaries
•More adaptable to changing environments
Brass, Burt, Podolny & Baron, Sparrowe et al, Gargiulo & Benassi 46

Build relationships with people
at all hierarchical levels
Look for complementary skills
while maintaining a balance!
Cross, Parise, & Weiss 2006
Higher: Help with making decisions,
acquiring resources, developing political
awareness, explaining organizational
activities beyond local setting
Equal: Help brainstorm and provide
specific help, support, and needed
information
Lower: Provide best sources of technical
information and expertise
47

48
“Think about it: everybody you know,
everyone you meet, also know about 250
people. So every time you cultivate a
relationship with one new person, you have
actually expanded your personal inventory by
250 people – every single time.”
— Bob Burg, Author and Speaker

Network Mapping Exercise
 Map network connections - Individual work (20
mins)
 Share maps – In pairs (2 x 20 mins)
 Strengthening networks - Plenary (20 mins)
49Adapted from http://enrapkscurriculum.pbworks.com/w/page/21532104/Strengthen%20relationships%20and%20networks
Click here
Map Your Social Networki
BriefDescription
This activity offers an introduction to social network mapping, a tool to support discussions and idea
generation on strengthening relationships and networks.
The exercise enables you to create your own informal network map using basic tools including paper,
pens and post-it notes. During the workshop you will have the chance to discuss the maps with others
who can offer their perspective of your network, which you may not always easily see. Discussing with
others gives you a chance to see the diagram from another’s point of view. Together, these help inform
your strategy for working with and sharing knowledge with those in your network.
Purpose:
· Understand a simple application of social network mapping
· Consider how best to utilize your network for your project
· Use the multiple perspectives of others to improve your understanding of your network
· Visualize and get a better understanding of your networks knowledge sharing paths
Materials
· 2 pieces of flip chart paper (an extra just in
case!)
· Small Post-It notes (or pieces of paper
and tape) in three colors
· Pencil
· Marker pens (2 colors)
Steps
1. Think of a specific project / assignment in which you are involved that requires knowledge to be
shared - something that is real, important and relevant to you.
2. List all the people and organizations involved with this work, writing each one on a small Post-It note.
We call these “notes” from now on. Use yellow color notes for people in your department/division, a
second color for those in the same organization but in another department/division than yours, and a
third color for those outside your organization.
3. Write a note that represents you or your immediate working group or organization.
4. Starting with your note, arrange the notes on the flip chart paper. Place the other notes in
relationship to you/your organization. In other words, people or organizations you most frequently do
things with should be closer to your note than ones you only interact with infrequently. We do this
just to simplify the drawing of lines. In social network analysis, distance is not always used. If your
work is all internal, consider other departments, etc.
5. If people or organizations on the notes have relationships or interactions with each other, try and
place those notes closer to each other. Move the notes around until you have a general sense of
how each person/organization relates to you and to the other notes.
6. Now with a pencil, draw an arrow from you to any of the other people/organizations to whom you
regularly share knowledge. The direction of the arrow should be from your note to their note. Then
draw lines from other people/organizations who regularly give you information or share knowledge

Leverage social media to build your networks
50

51
What benefits can you achieve
through using social media?
- Innovation
- Learning
- Relationships
- Leads
- Other?

Why do people use twitter?
 What’s happening now?
− News, events, trending topics
 What do you think?
− Ability to get immediate response
 Who else is interested in this?
− Ability to reach a broader community
− Ability to learn about topic
 To take a break
− Chat informally about serious and less serious topics
52

Get started with Twitter
53
Getting Started with Twitter
Robin Teigland
www.knowledgenetworking.org
@robinteigland
Step 1: Create a Twitter account.
1. Go to http://twitter.com.
Step 2: Create your twitter profile.
1. Click on Settings & edit your profile (make sure to add a photo).
2. View the results on “View my profile page”
(http://twitter.com/yourusername).
Step 3: Send a tweet.
1. Go to “Compose new Tweet” and type what you are doing / thinking, etc.
and click enter - 140 character max!
Step 4: Find some people or accounts to follow.
1. Use #Discover (at the top of your Twitter homepage) or simply type a
name into search box at top of screen (e.g., robin teigland). Click on
Follow.
2. Some people you might want to follow:
a. People in your local community whom you see at professional or
personal events
b. Customers (and potential customers)
c. Competitors
d. Peers and people in your industry
e. Service providers for your business
f. People who inspire you personally or professionally
g. Gurus in a field of interest
Step 5: Interact with others who are tweeting.
1. Favorite a tweet.
2. Retweet a tweet.
3. Reply to a tweet.
Step 6: Send a tweet.
1. Compose a tweet and include a link to an interesting website, article, etc.
2. Include a hashtag for your topic, eg #crowdfunding.
Click on the document
to the left to see some
basic steps to get
started with Twitter

Twitter exercise
 How could you use Twitter?
 How could Twitter help you professionally?
 How could you use Twitter to build social
networks in your organization?
 How will you use Twitter this next week?
54

Develop three forms of networking
55
Operational Personal Strategic
Purpose Getting work done
efficiently
Enhancing personal
and professional
development
Developing and
achieving future
priorities
Members Mostly internal
contacts and
focused on current
demands
Mostly external
contacts and
focused on current
and future interests
Both internal and
external contacts
and focused on
future
Network
attributes
Depth through
building strong
working
relationships
Breadth through
reaching out to
contacts who can
refer you to others
Leverage through
creating inside-
outside links
Ibarra & Hunter, HBR Jan 2007

Exercise
 Social network development
− What is your personal strategic objective for next 1-2 years?
− What resources do you need to fulfill this objective?
− What resources do your network ties give you access to?
− What network ties do you need to strengthen?
− How can you help one another make new connections?
− How could you use social media to help you develop your
strategic networks?
Resource Network tie Strength Action

Tools to uncover your networks
 Facebook
− TouchGraph Facebook Browser
 http://www.touchgraph.com/facebook
 LinkedIn
− http://socilab.com/#home/
 Klout
− http://klout.com/#/dashboard
57

Facebook network via TouchGraph
58
http://www.touchgraph.com/facebook

Track your influence
www.klout.com

Some tools to build your network
61

Background
62

Some positions are more important than others
63Anklam 2009

Bridging unconnected groups brings advantages
•More rapid promotions
•Greater career mobility
•Higher salaries
•More adaptable to changing environments
Brass, Burt, Podolny & Baron, Sparrowe et al, Gargiulo & Benassi 64

Avoid creating insular networks
http://www.enronexplorer.com/focus/19185# 65

Want to learn more?
Join our funnovation workshops
www.funnovation.se

Robin Teigland
robin.teigland@hhs.se
www.slideshare.net/eteigland
www.funnovation.se
@RobinTeigland
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Leveraging networks for improved performance

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