Iri (conference)v2
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    Iri (conference)v2 Iri (conference)v2 Presentation Transcript

    • TRUST, WEAK TIES AND INNOVATION Andrew Maxwell Ph.D. May 19th, 2014
    • • Increasingly sourced from, and shared with, weak ties1 • Managed through informal relation- ships and incomplete contracts2 • Requires new approach to managing relationship risk3 Innovation We discuss how to enable organizations to catalyze innovation by changing how they manage relationships from reducing risk through controls to managing risk through trust
    •  10:15 Introductions  10:25 Linking trust, weak ties and innovation  10:45 Individual reflection  11:00 Review of online exercise  11:05 Examples  11:10 Group report back  11:30 Feedback and discussion  11:55 Wrap up and next steps  12:00 Lunch Agenda
    •  Close working relationships  Frequent communication  Co-ordinated management  Aligned objectives  Overlapping knowledge / experience Strong ties are the traditional source of innovative ideas and idea validation Strong Ties are characterized by:
    •  Informal relationships  Infrequent communication  Limited co-ordination of objectives  Complementary knowledge and experience  Increasingly recognized as the source of new knowledge As a consequence, weak ties are becoming an increasingly important source of innovation Weak Ties are characterized by:
    •  Is a willingness to be vulnerable to the actions of another party, without any direct means of controlling their behaviors  It contrasts with contracts (controls) that specify:  outcome expectations and what each party will do  how performance measured, and consequences  Facilitates managing incomplete contracts  Reduces transaction costs  Encourages multiple simultaneous relationships  Accelerates knowledge exchange and actions Trust
    •  Reduces concerns about misappropriation or misuse arising from knowledge exchange  Improves knowledge sharing, enabling rapid identification of relevant opportunities  Reducing the verification costs associated with knowledge exchange  Facilitating higher rates of knowledge absorption, increasing likelihood of use / resource deployment  Limits concerns about unanticipated outcomes Building trust based relationships with those with whom you have weak ties:
    •  Challenging for organizations to reduce their reliance on contracts to manage relationship risk  However, controls may inhibit relationship forming  Perceived to be risky to rely on trust  Relies on individual’s ability to assess trustworthiness  Need to discuss risks of not forming relationships Transforming organization to rely on trust, rather controls, is challenging Trust Control
    •  Trust develops over time  Initial trust level based on trust proxy (i.e. background)  Subsequently trust levels based on behaviors in development of a dyadic (two way) relationship  Individuals audit manifestations of trust behaviors that build, damage or violate trust  Organizational design and interaction context influence individual trust behaviors  Specific trust behaviors stimulate trust responses by other party that can build or damage trust Becoming a relationship trust auditor
    • Lewicki and Bunker (1995) Level of trust changes over time Knowledge based trust Competence based trust Identification based trust
    • Behavioral manifestations that build trust Dimensions Trustworthy Consistency Displays of behavior that confirm previous promises Benevolence Exhibits concern about well-being of others Alignment Actions confirms shared values and/or objectives Dimensions Trustworthy Consistency Displays of behavior that confirm previous promises Benevolence Exhibits concern about well-being of others Alignment Actions confirms shared values and/or objectives Capability Competence Displays relevant technical and/or business ability Experience Demonstrates relevant work/training experience Judgment Confirms ability to make accurate and objective decisions Dimensions Trustworthy Consistency Displays of behavior that confirm previous promises Benevolence Exhibits concern about well-being of others Alignment Actions confirms shared values and/or objectives Capability Competence Displays relevant technical and/or business ability Experience Demonstrates relevant work/training experience Judgment Confirms ability to make accurate and objective decisions Trusting Disclosure Shows vulnerability by sharing confidential information Reliance Willingness to be vulnerable through task delegation Receptiveness Demonstrates ‘coachability’ and willingness to change Dimensions Trustworthy Consistency Displays of behavior that confirm previous promises Benevolence Exhibits concern about well-being of others Alignment Actions confirms shared values and/or objectives Capability Competence Displays relevant technical and/or business ability Experience Demonstrates relevant work/training experience Judgment Confirms ability to make accurate and objective decisions Trusting Disclosure Shows vulnerability by sharing confidential information Reliance Willingness to be vulnerable through task delegation Receptiveness Demonstrates ‘coachability’ and willingness to change Communication Accuracy Provides truthful and timely information Explanation Explains details & consequence of information provided Openness Open to new ideas or new ways of doing things
    • Trust Mistrust Suspicion Distrust Intentalignswithbenevolence Action don’t meet expectations Trust damaging Trustviolating Trust, building, damaging & violating
    •  10:15 Introductions  10:25 Linking trust, weak ties and innovation  10:45 Individual reflection  11:00 Review of online exercise  11:05 Examples  11:10 Group discussion  11:30 Feedback to workshop and discussion  11:55 Wrap up and next steps  12:00 Lunch Agenda
    • • Identify trust behaviors manifest by weak ties – that have built or damaged trust 1 • Rank these behaviors – from building trust to damaging trust2 • In groups, discuss key behaviors and discuss the impact of organizational design3 • Present insights to the workshop, to help identify organizational implications4 Workshop activities Exercise1/2as individuals, exercise3/4as groups
    • Manifestations Build Trust Damage Trust Violate TrustTrustworthy Consistency Displays of behavior that confirm previous promises Shows inconsistencies between words and actions Fails to keep promises and agreements Benevolence Exhibit concern about well- being of others Shows self-interest ahead of others’ well being Takes advantage of others when they are vulnerable Alignment Actions confirms shared values and/or objectives Exhibits behaviors sometimes inconsistent with declared values Demonstrates lack of shared values and willingness to compromise Capability Competence Displays relevant technical and/or business ability Shows lack of context specific ability Misrepresents ability by claiming to have non-existent competence Experience Evidence of relevant work and/or training experience Relies on inappropriate experience to make decision Misrepresents experience Judgment Confirms ability to make accurate and informed decisions Relies inappropriately on third parties or erroneous information Judges others without giving them the opportunity to explain Trusting Disclosure Shows vulnerability by sharing confidential information Shares confidential information without thinking of consequences Shares confidential information likely to cause damage Reliance Shows willingness to be vulnerable through delegation Reluctant to delegate, or introduces controls on subordinates’ performances Is unwilling to rely on representation by others, or dismisses participation Receptiveness Demonstrates ‘coachability’ and willingness to change Postpones implementation of new ideas or deflecting Refutes feedback or blames others ommunication Accuracy Provides truthful and timely information Unintentionally misrepresents or delays information transmission Deliberately misrepresents or conceals critical information Explanation Explains details and consequence of information provided Ignores request for explanations Dismisses request for explanations Openness Open to new ideas or new ways of doing things Does not listen or ignores new ideas Shuts down or undermines new ideas Behavioral Trust Dimensions
    •  How do trust behaviors build, or damage trust  Online exercise http://padlet.com/american_rob/2dvi1f2uo3  Reflect on your own experiences (past 6 months), specifically with weak ties linked to new initiatives  Were they trust building or damaging?  Mark scale and provide an example of each behavior  Think about:  why these behaviors built or damaged trust  What you, or your organization, might change  Bring your insights back to the group Individual exercise (trust behaviors)
    • Organizational Trust Diagnostic Trust Dimension: TRUSTWORTHY Think about the behaviors of those in your organization with whom you have “weak ties”. Place an ‘X’ on the line to represent where you think their behavior falls on each trust dimension. Provide an example. DISPLAYS OF BEHAVIORS THAT BUILD TRUST DISPLAYS OF BEHAVIORS THAT DAMAGE TRUST Confirming previous promises Exhibiting concern about the well-being of others Demonstrating shared values and/or objectives Name:__________________________ Organization:_________________________________ Email:________________________________ CONSISTENCY BENEVOLENCE ALIGNMENT Showing inconsistencies between words and actions Demonstrating self-interest ahead of others’ well-being Exhibiting behaviours that are inconsistent with declared values Would you be willing to be contacted so that we can do further research on this topic? YES/NO Andrew Maxwell Example: Example: Example: ©
    • Organizational Trust Diagnostic Trust Dimension: CAPABILITY Think about the behaviors of those in your organization with whom you have “weak ties”. Place an ‘X’ on the line to represent where you think their behavior falls on each trust dimension. Provide an example. DISPLAYS OF BEHAVIORS THAT BUILD TRUST DISPLAYS OF BEHAVIORS THAT DAMAGE TRUST Displaying relevant ability Providing evidence of relevant experience Demonstrating accurate & well considered decisions Name:__________________________ Organization:_________________________________ Email:________________________________ COMPETENCE EXPERIENCE JUDGMENT Showing a lack of context- specific ability Relying on inappropriate experience to make decisions Relying inappropriately on third parties or erroneous information Would you be willing to be contacted so that we can do further research on this topic? YES/NO Andrew Maxwell Example: Example: Example: ©
    • Organizational Trust Diagnostic Trust Dimension: TRUSTING Think about the behaviors of those in your organization with whom you have “weak ties”. Place an ‘X’ on the line to represent where you think their behavior falls on each trust dimension. Provide an example. DISPLAYS OF BEHAVIORS THAT BUILD TRUST DISPLAYS OF BEHAVIORS THAT DAMAGE TRUST Showing vulnerability by sharing confidential information Showing willingness to be vulnerable through delegating Demonstrating ‘coachability’ and willingness to change Name:__________________________ Organization:_________________________________ Email:________________________________ DISCLOSURE RELIANCE RECEPTIVENESS Sharing confidential information without thinking of consequences Being reluctant to delegate, or introducing controls on subordinates'’ performance Postponing implementation of new ideas or deflecting Would you be willing to be contacted so that we can do further research on this topic? YES/NO Andrew Maxwell Example: Example: Example: ©
    • Organizational Trust Diagnostic Trust Dimension: COMMUNICATION Think about the behaviors of those in your organization with whom you have “weak ties”. Place an ‘X’ on the line to represent where you think their behavior falls on each trust dimension. Provide an example. DISPLAYS OF BEHAVIORS THAT BUILD TRUST DISPLAYS OF BEHAVIORS THAT DAMAGE TRUST Providing truthful and timely information Explaining details and consequence of information provided Being open to new ideas or new ways of doing things Name:__________________________ Organization:_________________________________ Email:________________________________ ACCURACY EXPLANATION OPENNESS Unintentionally misrepresenting or delaying information transmission Ignoring requests for explanations Not listening or ignoring new ideas Would you be willing to be contacted so that we can do further research on this topic? YES/NO Andrew Maxwell Example: Example: Example: ©
    •  Trust behaviors are influenced by:  Individual personality, experience and context  Corporate culture and organizational design  Organizational design fosters or constrains manifestations of trust behaviors  Are there aspects of your organization design that cause the positive or negative behaviors observed:  Rewards systems, recruitment, recognition  Workload prioritization and promotion  Organization structures, policies and procedures  Leadership, culture and consequences  Bring the group reflection back to the workshop Group exercise
    •  10:15 Introductions  10:25 Linking trust, weak ties and innovation  10:45 Individual reflection  11:00 Review of online exercise  11:05 Examples  11:10 Group discussion  11:30 Feedback to workshop and discussion  11:55 Wrap up and next steps  12:00 Lunch Agenda
    •  Increasing reliance on weak ties requires trust displaying and trust auditing behaviors  Trust behaviors similar across different relationships  Trust behaviors a function of individual and context  Controls can damage or enable trust  Good organizational design promotes trust behaviors  Remove controls that constrain trust behaviors  Understanding role of trust, how it is manifest, and organizational implications important steps in leveraging weak ties to catalyze innovation Wrap up slide
    •  Andrew Maxwell  Fox School of Business  Temple University  Andrew.maxwell@temple.edu  416 433 9805  Thank you