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Measuring the value of the communities - SIKM Leaders - 16 April 2019


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How to measure the value of a community of practice?
Audio recording:

Louis-Pierre GUILLAUME, CEO of AMALLTE, presented a model with three levels.
The case study of Schneider Electric illustrates this measurement of tangible value and why it was done. The three main types of benefit of the measurement of value are presented.

Published in: Business
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Measuring the value of the communities - SIKM Leaders - 16 April 2019

  1. 1. Measuring the value of the communities Schneider Electric case study 16 April 2019 Louis-Pierre Guillaume Founder & CEO Former Director of KM Office, Schneider Electric SIKM leaders
  2. 2. Louis-Pierre (LP) GUILLAUME • Consultant | Speaker | Knowledge Management | Communities | Collaboration • Support collaborative innovation, foster personal development and optimize collective efficiency, through Knowledge Management. • Former Director of the Knowledge Management Office at Schneider Electric | Former Director of Know-How at Tereos • Vice-President of , association of KM leaders in France |2.
  3. 3. Table of content 1. Two little stories to set the stage 2. What lessons can we learn 3. How to measure value? Three levels 4. Why did Schneider Electric measured CoP value 5. How Schneider Electric did it 6. The benefit of the measurement of value |3.
  4. 4. |4. Sarah’s story • Sarah leads the Quality Community, with about a hundred members scattered over different sites. • Sarah spends about 20% of her time leading her community. • Her manager asks her to demonstrate the value of the CoP for the business, to justify her time spent. • Sarah provides her with statistics. CoP has reached its cruising speed • Her manager is not convinced by the value of the stats, neither is the sponsor. • They believe that since the community works, it has less need for Sarah. • Six months later, members are less and less active and the statistics are getting worse.
  5. 5. |5. Alice ’s story • Alice leads her company's knowledge management program • She supervises the leaders of twenty communities of practice. • Challenged on his budget, her manager asked her to demonstrate the value of the communities of practice program. • Alice then sends a survey to the community leaders. • Her manager is not convinced by the survey, because he claims the answers are biased. • No tangible evidence. • Alice feels that her position is weakening.
  6. 6. |6. • The statistics of a tool do not predict the value of the communities that uses it. • A Director or VP becomes a sponsor of a community of practice (CoP) if he/she perceives a business interest. • The leader of a community of practice must ensure that the community's objectives and expected benefits are achieved. • A manager will give time to lead a CoP to someone on his team only if he/she perceives the value of the community. • Measuring the value of a community program requires interviewing community members. Lessons learned
  7. 7. Show me the value of your community 1. Adoption & participation • Platform measurements • Number of attendees at events 2. Engagement /satisfaction • Voice of the members • Active Community Label 3. Efficiency • Success stories with benefits • The value realized ROE* instead of ROI ROE*: return on engagement |7.
  8. 8. Schneider Electric Case Study |8.
  9. 9. Schneider Electric, the global specialist in energy management and automation Balanced Geographies – FY 2017 revenuesDiversified End Markets – FY 2017 revenues 27% North America 18% Rest of World 27% Western Europe 28% Asia Pacific €25 billion FY 2017 revenues ~145,000 people in 100+ countries ~5% of revenues devoted to R&D Utilities & Infrastructure Industrial & Machines Data Centers & Networks Non-residential & Residential Buildings 21% 21%15%43% |9.
  10. 10. Initialisation of the Community Program in 2011 |10.
  11. 11. 2 communities July 2012 37 communities November 2012 69 communities July 2013 Today, 180 communities 120 communities September 2014 Communities@Work ramp-up and Social Network ramp-up Communities@Work Program Ramp-Up |11. Objective for 3 years: 20 communities NEW objective : 20 ACTIVE communities
  12. 12. Active Community Label 2. Engagement /satisfaction |12. Measure the community value perceived by the members. Recognize the active communities Since 2013 Each member is invited to answer a questionnaire to assess his/her communities The winning communities receive the Active Community Label and become Role Models Conditions to participate 1. At least six months of existence 2. Updated community charter 3. At least 10 members 4. A Sponsor A community is declared Active IF 1. Activity score (NAS) > threshold 2. Enough participation Members 1. Can vote for three communities maximum 2. Are listed by community leaders
  13. 13. ACL Campaign is Centrally Managed |13. • Propose a list of communities tailored to each member (80% are member of one community, 99% of three). • Members cannot vote for a community they do not belong to (about 13% did it) • One sender, to avoid people receiving several emails from several community leaders. • Compute participation rate. Need to have a master list of members per community for the baseline. • Ensure that people who have left the company do impact the participation rate. • Send reminders only to people who have not voted yet. • Consistency of the process, as 10000+ people impacted. One message, one master list, no cheating. Members only. • Confidentiality. 2000+ lines of code in R
  14. 14. Targeted Unique Questionnaire |14.
  15. 15. Tangible Value - NAS |15. 0% 10% 20% 30% 40% 50% 60% Strongly.agree Agree Disagree Strongly.disagree My community provides tangible value to me, my business or my clients NAS 2016 NAS 2017 NAS 2018 2018: 70 CoP, 10 000 community members, 30% response rate, representative sample -100 -80 -60 -40 -20 0 20 40 60 80 100 2013 2014 2015 2016 2017 2018 Net Activity Score (NAS)All Strongly Agree All Strongly Disagree All Agree All Disagree Neutral NAS: weighted average
  16. 16. Detailed Tangible Value and Engagement 2018 |16. 0 10 20 30 40 50 60 My community helps bringing more business My community helps saving time My community helps reducing cost Detailed Tangible Value Strongly.agree Agree Disagree Strongly.disagree Not Applicable 0 10 20 30 40 50 60 I devote a lot of energy to this community I pay a lot of attention to things happening in this community Being a member of this community makes me feel enthusiastic I am highly engaged in this community' My contributions to this community are recognized or valued Community Engagement Strongly.agree Agree Disagree Strongly.disagree Not Applicable
  17. 17. Active Community Assessment – Drivers Guess which ones have influence on the NAS or Participation? (2015 study) Community profile •Community size (membership) •Activity on Social Collaboration Platform •Average hierarchical distance between the voters •Average physical distance between the voters Member’s profile •Diversity of the job code of the voters •Voters average age •Voters average seniority •Percentage of voters who are women. Leader’s profile •Leader seniority •Leader age •Gender of the leader •Leader is manager or not |17.
  18. 18. Success Stories – Gold Label 3. Efficiency |18. Power Conversion Community Lead by Michael “Small, efficient and affordable inverters are a hidden but essential part of the energy revolution that is having a huge impact on all our lives. In response to Google's ‘Little Box’ challenge, Schneider Electric’s Power Conversion experts created a miniature prototype inverter that won 2nd place out of 2,000 entries. This was possible thanks to the outstanding efforts of a diverse range of experts, brought together by the Power Conversion Community.” Plastic Community Lead by Delphine In an increasingly strict regulatory context, designing environmentally friendly products is a strategic challenge for a responsible company. Schneider Electric’s Plastics Community helps the company massively reduce the risks associated with plastics use, thanks to the Schneider Electric Materials and Chemicals Directive, written to address the constraints facing all the different stakeholders. Global Labs Technical Community Lead by Wu As Schneider Electric’s R&D teams develop global multi-site projects, it has become imperative to guarantee consistent tests results from lab to lab. The Global Lab Technical Community allowed Schneider Electric experts to work together at a global level and with unprecedented cooperation, to unify and deploy global test methods that reduce waste and improve time-to-market.
  19. 19. Benefit of the measurement of value |19.
  20. 20. Benefits of measurement of value |20. For the community leader: • Time allocated by management, since proof of value. • A quantified success story convinces the most sceptical managers. • Opinions and wishes feed the action plan. • Recognition through the ACL label and Gold Label. • Bad results drive overhaul of the community. For the director of knowledge management: • Sustainability of the community management program. For the members • Engagement in my community.
  21. 21. THANK YOU Louis-Pierre Guillaume Founder & CEO +33 6 10 33 63 21