Across the border with  Communities of Practice September 2007 Dr. Robin Teigland Stockholm School of Economics robin.teig...
A world of rapidly growing knowledge …. > A person’s lifetime 18th century One week 2007 Fisch 2007
… that becomes quickly outdated …. 50% knowledge relevant 50% knowledge outdated First year of technical-based education T...
..making it increasingly hard to keep up Growth Time Output of information and knowledge Human  absorptive capacity Junks ...
An increasingly connected world new friends family local colleagues old friends old colleagues colleagues at other offices...
<ul><li>” No one knows everything,  </li></ul><ul><li>everyone knows something,  </li></ul><ul><li>all knowledge resides i...
The formal organization Top-down, command hierarchy
Where do individuals go for help with problems? Co-located  colleagues Intranet Non-electronic documents Internal electron...
It is increasingly through an organization’s  informal networks  that work gets done Informal network in pharmaceutical mu...
What is a network? A set of actors connected by ties <ul><li>Ties/Links </li></ul><ul><ul><li>Knowledge, trust, team, sit ...
Two departments within the same firm Department 1 Department 2 Higher degree of learning & knowledge sharing Poorer degree...
San Francisco Stockholm London Brussels Helsinki Madrid Copenhagen Islands of competence Rotated from  Stockholm
Hinton 2007 What are communities of practice?
What are communities of practice? <ul><li>Groups of people who come together  to share and to learn from one another   fac...
Examples of communities of practice Hinton 2007
Challenges to knowledge databases <ul><li>Time consuming and difficult </li></ul><ul><ul><li>Takes times for writer to doc...
<ul><li>It turns out that ….  the community ends up being not the secondary resource for knowledge, but for the majority o...
From tacit to articulate knowledge  <ul><li>“ We know more than we can tell.”  </li></ul><ul><li>Michael Polanyi, 1966 </l...
Knowledge is experience,  everything else is just information. -Albert Einstein
CPs are not teams or personal networks McDermott 2001 -Obligation -Job requirement -Value -Commitment - Friendship Glue -P...
Hinton 2007 Top-down Command hierarchy Emergent organic network Communities  of practice
Role of communities of practice in organizations  <ul><li>Create: Own & develop knowledge </li></ul><ul><ul><li>Develop & ...
Communities have different primary purposes Helping Best-practice Innovation Knowledge stewarding AQPC 2000
Organizations supporting communities <ul><li>Hewlett-Packard  </li></ul><ul><li>World Bank </li></ul><ul><li>DaimlerChrysl...
A variety of virtual communities at an IT firm Knowledge Networking VP BD Business Concepts  VP Sales Industry Knowledge  ...
Cap Gemini – NCN MS Electronic Community <ul><li>Objective </li></ul><ul><ul><li>To provide programmers working with Micro...
Communities of practice at Ericsson Magnusson & Davidsson 2004 Community Type and Members Objectives Communication channel...
Communities of practice cross all boundaries Company Suppliers Customers Competitors Partners McDermott 2001
External communities are growing in importance! Online communities Schoolmates Avatars Previous work  colleagues Large por...
Encourage an open innovation attitude Not all the smart people work for us.  We need to work with smart people inside and ...
The wisdom of crowds (Surowiecki 2004)  Closed Expensive Complex Accurate Open Inexpensive Simple Close enough Hinton 2007
Crowdsourcing: Capturing the wisdom of crowds <ul><li>What is it? </li></ul><ul><ul><li>Customer participation in business...
What can organizations do? Innovation Product development Content generation Decision making Funding Sales & marketing Dis...
Innovations - www.innocentive.com
Problem solutions - The Goldcorp Challenge
Decision making & funding – My football club Brayrie 2007
Product development - www.ideastorm.com Brayrie 2007
Building the Dell community Brayrie 2007
Communities of practice – A driving force in crowdsourcing <ul><li>Participation </li></ul><ul><li>Engagement </li></ul><u...
Communities of practice cannot be “managed” <ul><li>You cannot force a plant to grow by pulling its leaves </li></ul><ul><...
Think of a public park….. <ul><li>If we all enjoy the park without contributing to its maintenance, then there will be no ...
Cultivating communities of practice Define Motivate Moderate Connect Connect
Define the community of practice <ul><li>Business relevance </li></ul><ul><ul><li>Choose a topic that is  value-adding  fo...
Moderate the community of practice <ul><li>Build human relationships </li></ul><ul><li>Ensure an active coordinator –  Thi...
Community membership and roles Wasko & Teigland 2002 Outsiders Ask questions Don’t contribute Not committed Peripheral Con...
Building critical mass is crucial <ul><li>It’s like going to the newest bar in town - the music is great, the drinks are c...
Ensure communication technology fits with participants’ needs and abilities <ul><li>Use familiar technology </li></ul><ul>...
Two extreme communities of practice Face-to-face Virtual
Public & private community space ~ 30% in the public space Public Space McDermott 2001 Events: Meetings, website, telecons...
Communities are living things <ul><li>Design from the inside </li></ul><ul><ul><li>Involve community leaders in design   <...
Cultivating communities of practice Define Motivate Moderate Connect Connect
Build an understanding of this “new” organizational form <ul><li>Old = organic, value-driven </li></ul><ul><li>New = to un...
Why do people participate in a Community? Wasko & Faraj 2000 <ul><ul><li>Useful information </li></ul></ul><ul><ul><li>Spe...
But remember people have dueling loyalties Loyalty Loyalty Organization Communities
Align incentives with CPs <ul><li>Recognize and reward for collaborative behavior   </li></ul><ul><ul><li>At individual, g...
Reward and broadcast results <ul><li>Reward  </li></ul><ul><ul><li>Collect data & tell stories linking activities, knowled...
Critical failure factors for CPs <ul><li>Community leaders inactive or lousy networkers </li></ul><ul><li>Scope too wide <...
Interested in learning more? <ul><li>Contact me at   [email_address] </li></ul><ul><li>Sources </li></ul><ul><ul><li>Brayr...
Appendix
Some success stories Organization Purpose Approach Technology Results Chevron To reduce operating costs Communities of Pra...
DaimlerChrysler- Engineering Tech clubs <ul><li>Sharing and mentoring for process specialists </li></ul><ul><li>Frequent f...
Ericsson Competence Groups for worldwide  Flow Control Centers Country 1 Country 2 Country 14 1. Process & IT 2. Order mgt...
Ericsson Competence Groups <ul><li>Background and objective </li></ul><ul><ul><li>To improve knowledge sharing between Flo...
What about performance? Firm A High creative Low  on-time High on-time Low  creative  Teigland 2003 High creative Virtual ...
The strength of weak ties Network A’s knowledge  Network D’s knowledge  Network B’s knowledge  Network C’s knowledge  Gran...
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Communities Of Practice Teigland

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  • Communities Of Practice Teigland

    1. 1. Across the border with Communities of Practice September 2007 Dr. Robin Teigland Stockholm School of Economics robin.teigland@hhs.se
    2. 2. A world of rapidly growing knowledge …. > A person’s lifetime 18th century One week 2007 Fisch 2007
    3. 3. … that becomes quickly outdated …. 50% knowledge relevant 50% knowledge outdated First year of technical-based education Third year of education
    4. 4. ..making it increasingly hard to keep up Growth Time Output of information and knowledge Human absorptive capacity Junks 1989
    5. 5. An increasingly connected world new friends family local colleagues old friends old colleagues colleagues at other offices Just a click away… virtual communities local networks old classmates avatars
    6. 6. <ul><li>” No one knows everything, </li></ul><ul><li>everyone knows something, </li></ul><ul><li>all knowledge resides in humanity.” </li></ul>networks. Adapted from Lévy 1997
    7. 7. The formal organization Top-down, command hierarchy
    8. 8. Where do individuals go for help with problems? Co-located colleagues Intranet Non-electronic documents Internal electronic networks Contacts in other offices Firm boundary External electronic networks Internet Non-electronic documents Other contacts ? ?
    9. 9. It is increasingly through an organization’s informal networks that work gets done Informal network in pharmaceutical multinational
    10. 10. What is a network? A set of actors connected by ties <ul><li>Ties/Links </li></ul><ul><ul><li>Knowledge, trust, team, sit by, dislike, etc. </li></ul></ul><ul><ul><li>Alliance, customer, investment, etc. </li></ul></ul>Tie <ul><li>Actors/Nodes </li></ul><ul><ul><li>Individuals </li></ul></ul><ul><ul><li>Teams, organizations, etc. </li></ul></ul>Actor
    11. 11. Two departments within the same firm Department 1 Department 2 Higher degree of learning & knowledge sharing Poorer degree of learning & knowledge sharing
    12. 12. San Francisco Stockholm London Brussels Helsinki Madrid Copenhagen Islands of competence Rotated from Stockholm
    13. 13. Hinton 2007 What are communities of practice?
    14. 14. What are communities of practice? <ul><li>Groups of people who come together to share and to learn from one another face-to-face and/or virtually. </li></ul><ul><li>They are held together by a common interest in a body of knowledge and are driven by a desire and need to share problems, experiences, insights, templates, tools, and best practices. </li></ul><ul><li>Members deepen their knowledge by interacting on an ongoing basis . </li></ul><ul><li>This interaction leads to continuous learning and innovation </li></ul>
    15. 15. Examples of communities of practice Hinton 2007
    16. 16. Challenges to knowledge databases <ul><li>Time consuming and difficult </li></ul><ul><ul><li>Takes times for writer to document experiences </li></ul></ul><ul><ul><li>Takes time for reader to search through databases, information overload </li></ul></ul><ul><ul><li>Often weak incentives to contribute golden nuggets </li></ul></ul><ul><li>Difficult to understand </li></ul><ul><ul><li>Difficult for writer to explain context, tacit ->explicit </li></ul></ul><ul><ul><li>Difficult for reader to interpret experience and use in own situation </li></ul></ul><ul><li>Data becomes out-of-date very quickly </li></ul><ul><ul><li>Difficult to maintain, especially in fast moving industries </li></ul></ul>
    17. 17. <ul><li>It turns out that …. the community ends up being not the secondary resource for knowledge, but for the majority of participants …, it’s the *primary* resource. </li></ul>Hinton 2007
    18. 18. From tacit to articulate knowledge <ul><li>“ We know more than we can tell.” </li></ul><ul><li>Michael Polanyi, 1966 </li></ul>Tacit Articulated High Low Codifiability MANUAL How to play soccer
    19. 19. Knowledge is experience, everything else is just information. -Albert Einstein
    20. 20. CPs are not teams or personal networks McDermott 2001 -Obligation -Job requirement -Value -Commitment - Friendship Glue -Planned -Actively discovered -Serendipitously discovered Value Creation -Organize tasks -Meetings -Informal communications -One-on-one Activity -Assigned -Not voluntary -Defined boundary -Mostly volunteers -Permeable boundary -Friends & acquaintances -No boundary Members -Accomplish goal -Solve problems -Share info. & ideas -Expand knowledge -Share information -Friendship Purpose Team Community of Practice Personal Network
    21. 21. Hinton 2007 Top-down Command hierarchy Emergent organic network Communities of practice
    22. 22. Role of communities of practice in organizations <ul><li>Create: Own & develop knowledge </li></ul><ul><ul><li>Develop & manage good practice </li></ul></ul><ul><ul><li>Build organizational competence </li></ul></ul><ul><li>Organize: Develop & manage materials </li></ul><ul><ul><li>Develop tools, guidelines, templates </li></ul></ul><ul><ul><li>Manage databases </li></ul></ul><ul><li>Disseminate: Connect people across boundaries </li></ul><ul><ul><li>Who knows what </li></ul></ul><ul><ul><li>Home in changing organization & an uprooted society </li></ul></ul><ul><li>Embed: Share ideas & insights </li></ul><ul><ul><li>Share tacit, complex ideas & insights </li></ul></ul><ul><ul><li>Help each other solve problems & find innovations </li></ul></ul>
    23. 23. Communities have different primary purposes Helping Best-practice Innovation Knowledge stewarding AQPC 2000
    24. 24. Organizations supporting communities <ul><li>Hewlett-Packard </li></ul><ul><li>World Bank </li></ul><ul><li>DaimlerChrysler </li></ul><ul><li>Shell Oil </li></ul><ul><li>McKinsey & Co. </li></ul><ul><li>British Telecom </li></ul><ul><li>Xerox </li></ul><ul><li>British Petroleum </li></ul><ul><li>Ericsson </li></ul><ul><li>Siemens </li></ul><ul><li>CapGemini </li></ul><ul><li>IBM </li></ul><ul><li>Schlumberger </li></ul><ul><li>European Commission </li></ul>McDermott 2001
    25. 25. A variety of virtual communities at an IT firm Knowledge Networking VP BD Business Concepts VP Sales Industry Knowledge HR Competencies COO Processes & Methodology Virtual community led by COO Wireless Branding Intranet *Virtual communities led by Business Concept responsible *Functional reporting to VP BD Travel Automotive Finance *Virtual communities led by Industry Group responsible *Functional reporting to VP Sales Proj Mgrs Technology Design *Virtual communities led by Competency Group responsible. *Functional reporting to HR
    26. 26. Cap Gemini – NCN MS Electronic Community <ul><li>Objective </li></ul><ul><ul><li>To provide programmers working with Microsoft products a forum to help each other solve problems </li></ul></ul><ul><li>Organization </li></ul><ul><ul><li>345 programmers across Nordic countries </li></ul></ul><ul><li>Activities </li></ul><ul><ul><li>Helping each other through posting questions and responses on listserv nicknamed “L2A2L” (Learn to ask to learn) </li></ul></ul><ul><li>Critical success factors </li></ul><ul><ul><li>“ Eldsjäl” – one who burned for community and walked the talk </li></ul></ul><ul><ul><li>High level of reciprocity </li></ul></ul>Teigland & Wasko 2003
    27. 27. Communities of practice at Ericsson Magnusson & Davidsson 2004 Community Type and Members Objectives Communication channel eRelationship Vodafone <ul><li>Inter-organizational </li></ul><ul><li>1400 members in 10 countries </li></ul>-Use internet to design joint e-business platform -Virtual Competence Groups <ul><li>Intra-organizational </li></ul><ul><li>200 members in 14 countries </li></ul>-Ensure sharing of best practices and commonality - Primarily face-to-face Ericsson Foresight - Inter-organizational including universities, experts, & institutions - 600 with core of 40 - Think tank on emerging trends in society, technology, & consumers - Virtual and face-to-face Ericsson System Architect Program, ESAP <ul><li>- Intra-organizational </li></ul><ul><li>20 members from 14 countries </li></ul><ul><li>Facilitate inter-project learning and innovation </li></ul><ul><li>Retain key individuals </li></ul>Primarily face-to-face
    28. 28. Communities of practice cross all boundaries Company Suppliers Customers Competitors Partners McDermott 2001
    29. 29. External communities are growing in importance! Online communities Schoolmates Avatars Previous work colleagues Large portion of new ideas and formal collaboration relationships come from external contacts Organization Physical networks
    30. 30. Encourage an open innovation attitude Not all the smart people work for us. We need to work with smart people inside and outside the company. The smart people in our field work for us. If you create the most and the best ideas in the industry, you will win. If you make the best use of internal and external ideas, you will win. Closed attitude Open attitude Chesborough 2003
    31. 31. The wisdom of crowds (Surowiecki 2004) Closed Expensive Complex Accurate Open Inexpensive Simple Close enough Hinton 2007
    32. 32. Crowdsourcing: Capturing the wisdom of crowds <ul><li>What is it? </li></ul><ul><ul><li>Customer participation in business and business development </li></ul></ul><ul><li>Why the interest? </li></ul><ul><ul><li>Experience </li></ul></ul><ul><ul><li>Ownership </li></ul></ul><ul><ul><li>Engagement </li></ul></ul><ul><ul><li>Loyalty </li></ul></ul>Brayrie 2007
    33. 33. What can organizations do? Innovation Product development Content generation Decision making Funding Sales & marketing Distribution Brayrie 2007
    34. 34. Innovations - www.innocentive.com
    35. 35. Problem solutions - The Goldcorp Challenge
    36. 36. Decision making & funding – My football club Brayrie 2007
    37. 37. Product development - www.ideastorm.com Brayrie 2007
    38. 38. Building the Dell community Brayrie 2007
    39. 39. Communities of practice – A driving force in crowdsourcing <ul><li>Participation </li></ul><ul><li>Engagement </li></ul><ul><li>Commitment </li></ul><ul><li>Openness </li></ul><ul><li>Conversation </li></ul><ul><li>Connectedness </li></ul>
    40. 40. Communities of practice cannot be “managed” <ul><li>You cannot force a plant to grow by pulling its leaves </li></ul><ul><li>You can, however, create the conditions for it to grow </li></ul>McDermott 2001
    41. 41. Think of a public park….. <ul><li>If we all enjoy the park without contributing to its maintenance, then there will be no park to enjoy </li></ul>
    42. 42. Cultivating communities of practice Define Motivate Moderate Connect Connect
    43. 43. Define the community of practice <ul><li>Business relevance </li></ul><ul><ul><li>Choose a topic that is value-adding for the business </li></ul></ul><ul><ul><li>Find common objectives across participants </li></ul></ul><ul><li>Personal passion </li></ul><ul><ul><li>Focus on real, current problems </li></ul></ul><ul><ul><li>Find people who care about the topic </li></ul></ul><ul><li>Define focus and scope </li></ul><ul><ul><li>What is the purpose of the community? </li></ul></ul>McDermott 2001
    44. 44. Moderate the community of practice <ul><li>Build human relationships </li></ul><ul><li>Ensure an active coordinator – This is crucial! </li></ul><ul><li>Develop an active core group </li></ul><ul><li>Ensure time to participate </li></ul><ul><li>Combine virtual connections with face-to-face events </li></ul><ul><ul><li>Conferences, electronic conferences, discussion boards </li></ul></ul><ul><li>Work the public & private community space </li></ul>It’s all about relationships! McDermott 2001
    45. 45. Community membership and roles Wasko & Teigland 2002 Outsiders Ask questions Don’t contribute Not committed Peripheral Contribute less Not committed Enjoy helping Coordinator “ Eldsjäl” Active Contribute less Challenge Enjoy helping Experts High commitment Contribute more Reputation Core Group
    46. 46. Building critical mass is crucial <ul><li>It’s like going to the newest bar in town - the music is great, the drinks are cheap, the interior is cool…...but there’s no one there………..You gotta have critical mass to make it work! </li></ul>Teigland 2003
    47. 47. Ensure communication technology fits with participants’ needs and abilities <ul><li>Use familiar technology </li></ul><ul><li>Integrate sharing technology with everyday work </li></ul><ul><li>Customize technology to fit the community </li></ul><ul><li>Change functionality as community discovers what is valuable </li></ul>McDermott 2001
    48. 48. Two extreme communities of practice Face-to-face Virtual
    49. 49. Public & private community space ~ 30% in the public space Public Space McDermott 2001 Events: Meetings, website, telecons Private Space Person to person
    50. 50. Communities are living things <ul><li>Design from the inside </li></ul><ul><ul><li>Involve community leaders in design </li></ul></ul><ul><li>Design for different & fluid levels of participation </li></ul><ul><ul><li>Not all must participate to the same degree </li></ul></ul><ul><li>Design for evolution </li></ul><ul><ul><li>Communities evolve in their own direction </li></ul></ul><ul><li>Maintain creative disequilibrium </li></ul><ul><ul><li>Avoid too much management support </li></ul></ul><ul><ul><li>Prevent competency traps </li></ul></ul>McDermott 2001
    51. 51. Cultivating communities of practice Define Motivate Moderate Connect Connect
    52. 52. Build an understanding of this “new” organizational form <ul><li>Old = organic, value-driven </li></ul><ul><li>New = to understand dynamics of community processes and to intentionally develop communities </li></ul>McDermott 2001
    53. 53. Why do people participate in a Community? Wasko & Faraj 2000 <ul><ul><li>Useful information </li></ul></ul><ul><ul><li>Specific answer </li></ul></ul><ul><ul><li>Personal gain </li></ul></ul><ul><ul><li>Enjoyment </li></ul></ul><ul><ul><li>Learning </li></ul></ul><ul><ul><li>Reputation </li></ul></ul><ul><li>Pro-social behavior </li></ul><ul><ul><li>Reciprocity </li></ul></ul><ul><ul><li>Advancing the community </li></ul></ul>Tangible returns 26% Intangible returns 24% Community interest 50%
    54. 54. But remember people have dueling loyalties Loyalty Loyalty Organization Communities
    55. 55. Align incentives with CPs <ul><li>Recognize and reward for collaborative behavior </li></ul><ul><ul><li>At individual, group, and organizational levels </li></ul></ul><ul><li>Show management commitment </li></ul>Challenge Satisfaction $$$ Monetary Status and recognition
    56. 56. Reward and broadcast results <ul><li>Reward </li></ul><ul><ul><li>Collect data & tell stories linking activities, knowledge assets, & value </li></ul></ul><ul><li>Broadcast results </li></ul><ul><ul><li>User various means to communicate stories </li></ul></ul>Value is always for someone!
    57. 57. Critical failure factors for CPs <ul><li>Community leaders inactive or lousy networkers </li></ul><ul><li>Scope too wide </li></ul><ul><li>Focus on standardizing work processes </li></ul><ul><li>Company leaders discourage participation </li></ul><ul><li>Build it, wait (pray) for them to come </li></ul><ul><ul><li>Build more empty libraries </li></ul></ul>McDermott 2001
    58. 58. Interested in learning more? <ul><li>Contact me at [email_address] </li></ul><ul><li>Sources </li></ul><ul><ul><li>Brayrie, 2007, http://www.slideshare.net/brayrie/crowdsourcing </li></ul></ul><ul><ul><li>Hinton, A. 2007. http://s3.amazonaws.com/ppt-download/architectures-for-conversation-ii-what-communities-of-practice-can-mean-for-information-architecture-5733.pdf </li></ul></ul><ul><ul><li>Hustad, E. & Munkvold, E. 2005. IT-Supported Competence Management: A Case Study at Ericsson. ISM Journal. </li></ul></ul><ul><ul><li>Magnusson, M. & Davidsson, N. Knowledge Networking at Ericsson: A Study of Knowledge Exchange and Communities of Knowing. Chalmers Working Paper. </li></ul></ul><ul><ul><li>McDermott, R. http://www.mcdermottconsulting.com/ </li></ul></ul><ul><ul><li>Wenger, E. http://www.ewenger.com/ </li></ul></ul><ul><li>More by Robin at </li></ul><ul><ul><li>www.knowledgenetworking.org </li></ul></ul><ul><ul><li>Teigland, R. 2003, http://www.hhs.se/NR/rdonlyres/4165BDC8-C42C-43CF-8EEF-57DCEB0939BC/0/TeiglandthesisKnowledgeNetworking.pdf </li></ul></ul>
    59. 59. Appendix
    60. 60. Some success stories Organization Purpose Approach Technology Results Chevron To reduce operating costs Communities of Practice (CPs), facilitate transfer of Best Practices <ul><li>Standardized Microsoft platform </li></ul><ul><li>Plumtree portal </li></ul><ul><li>$2 billion reduction in annual operating costs (1991 vs. 1998) </li></ul>Best Buy <ul><li>Enterprise portal </li></ul><ul><li>Skill based people finder </li></ul><ul><li>Community sites </li></ul><ul><li>Employee toolkit </li></ul><ul><li>Increased production from 1500 to 6000 bbl/day for customer </li></ul>Schlumberger To ensure knowledge in the hands of employees and customers Technical CPs, intranet & extranet Web-enabled To bring creative new solutions to market faster, shorten the learning curve, lower costs CPs, steering committee, design teams, KM Program Office <ul><li>Reduced customer request time </li></ul><ul><li>Increased sales productivity </li></ul>AQPC 2000
    61. 61. DaimlerChrysler- Engineering Tech clubs <ul><li>Sharing and mentoring for process specialists </li></ul><ul><li>Frequent face-to-face social and professional meetings </li></ul><ul><li>Discuss current breakthroughs, best practices, manage Engineering Book of Knowledge </li></ul>AQPC 2000 Jeep Truck Minivan Large Car Small Car Platform Engineering Tech Clubs Program Management Vehicle Development Body Interior Chassis Electrical/ Electronics
    62. 62. Ericsson Competence Groups for worldwide Flow Control Centers Country 1 Country 2 Country 14 1. Process & IT 2. Order mgt 14. Customer care Function Countries 3. Forecasting <ul><li>CG Function Leaders </li></ul><ul><li>14 leaders meet monthly </li></ul><ul><li>Work 30% on CG </li></ul><ul><li>CG Function Members </li></ul><ul><li>2 day seminar 3-4 xs/year </li></ul><ul><li>Monthly phone conference </li></ul><ul><li>Work 3-5 days/mth on CG </li></ul><ul><li>Program Manager </li></ul><ul><li>Coordinator </li></ul><ul><li>Web Assistant </li></ul>Magnusson & Davidsson 2004
    63. 63. Ericsson Competence Groups <ul><li>Background and objective </li></ul><ul><ul><li>To improve knowledge sharing between Flow Control centers worldwide that responsible for order fulfillment and complete order flow </li></ul></ul><ul><li>Organization </li></ul><ul><ul><li>14 Competence Groups focused on one Flow Control function each, e.g., forecasting, invoicing, consisting of one member from each of 14 Flow Control Centers worldwide </li></ul></ul><ul><ul><li>Each CG headed by one leader who devotes 30% of time to CG </li></ul></ul><ul><li>Activities </li></ul><ul><ul><li>14 CG leaders meet once a month and all CG members meet 3-4 times a year at 2 day seminar </li></ul></ul><ul><ul><li>Develop common terminology and processes </li></ul></ul><ul><ul><li>Discuss process improvements and how can be implemented </li></ul></ul><ul><ul><li>Monthly phone conferences to discuss ongoing work </li></ul></ul><ul><li>Critical success factors </li></ul><ul><ul><li>Well designed organization </li></ul></ul><ul><ul><li>All allowed to contribute and suggest improvements </li></ul></ul>Magnusson & Davidsson 2004
    64. 64. What about performance? Firm A High creative Low on-time High on-time Low creative Teigland 2003 High creative Virtual community Firm B
    65. 65. The strength of weak ties Network A’s knowledge Network D’s knowledge Network B’s knowledge Network C’s knowledge Granovetter 1973
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