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Social Capital: using ONA to unleash potential across an organizationmichael arena condensed

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Michael Arena describes how to shift from human capital to social capital.

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Social Capital: using ONA to unleash potential across an organizationmichael arena condensed

  1. 1. Michael Arena PhD Chief Talent Officer Social Capital: using ONA to unleash potential across an organization
  2. 2. 2 Human Capital Social Capital Shifting from Human to Social Capital
  3. 3. Network Performance Source: CEB, CLC Human Resources, High Performance Survey Percentage of Employees % Change in Profit by Percentage of Enterprise Contribution N=23,339 0% 100%75%25% 50% 5% 10% 15% Social and Human Capital Human Capital
  4. 4. Zaheer Mitchell Klimchuck Angelo Keller Integration Dhillon Myers Engineering Avery Cordoza Sutherland Ramirez Operations McWatters Waring Senior Vice President Mares Manufacturing Milavec Smith Schultz Design Crossley Production Hussan Safety Hopper Formal Organization Hussan Hopper Milavec Waring Mares Myers Klimchuck Angelo Keller Smith Cordoza Sutherland Ramirez Dhillon Crossley McWatters Avery Schultz Zaheer Mitchell Informal Organization
  5. 5. 0 5 10 15 20 25 30 35 40 45 Far Exceeds Promoted Departed SC Program Control Group 42% 43% 35% Understanding Social Capital makes a Difference Burt and Ronchi, “Teaching executives to see social capital: results from a field experiment," Social Science Research (2007). Executives who underwent training in social capital were: • 35% more likely to be evaluated as far exceeding expectations …than peers in a matched control group • 43% more likely to be promoted group • 42% more likely to stay
  6. 6. Intentional Networks Loose subgroups improves development by up to 25% Tight core improves Execution by up to 30%
  7. 7. Brokers Early access to novel ideas, wider access to diverse information, and control over diffusion. More likely to be in top 20% of high performers within organizations. Connectors Ideas within cohesive sub-groups are more likely to be socialized, developed and adopted locally. However, ideas are 43% more likely to be dismissed by others. Energizers Energizers are 4Xs more likely to influence within and across sub- groups. They are also more likely to get ideas noticed and their reputation spreads quickly.
  8. 8. Team 1 Team 2 Managers Team 3 Team 4 Intervention Impact:  Cohesion increase: 30%  Productivity increase: Estimated 25% Intervention: Series of in-team Experiments all Center Study: Improvements Cohesion matters; productivity (r = 0.61) Productivity Study
  9. 9. face-2-face Passion Spreads Pentland, S. (2009), Honest Signals As much as 70-80% of our ability to influence is a result of face-2-face exchanges
  10. 10. 6 Degrees of Separation
  11. 11. The Oracle of Bacon 6 degrees
  12. 12. Network Patterns of High Performers http://www.cs.virginia.edu/oracle/ Jim Kevin
  13. 13. Jobs Stephen P
  14. 14. Jobs Stephen P
  15. 15. your Network says a lot about you ! gossip 2008, Burt, R., Gossip & Reputation
  16. 16. If you want people to be interested Start by being interesting
  17. 17. Network Principles
  18. 18. "Anything amazing presumes the courage to explore the edge” • Discovery happens on the edge at the intersection of networks • Brokers challenge the network to think big by discovering new information, insights, and ideas. • Scientists have long marveled at how life emerges on the edge where the sea thrust upon the shore, or the tidal pools. A diverse set of life forms from mussels, to sea stars, to crabs and anemones lurk in beds of kelp and sea grass. • The same is true for organizations
  19. 19. • Ideas alone are cheap, often discovered and tossed aside. The true value of an idea can only be realized though successful implementation. • The natural propensity secure leadership support. This rarely works, most leaders are inundated. • A better strategy, find a friend. • Socialization with a friend provides an initial gut check on the surface merit of idea. • Local, cooperative interactions are over 50% more likely to have creative ideas as a result of positive emotions.
  20. 20. • The best way to spread ideas across the network is to follow the energy. • Organizations aren’t ready for all ideas. The level of energy around a given solution constantly evaluated. • With adaptive solutions, energy is everything, and great innovators know how to sense it, leverage it and follow it! • As individuals migrate towards a solution, it can grow into a movement, generating interests from others. • Energizers provide a 4X lift on new solutions
  21. 21. • Not all energy is positive, quite often the initial response to a new idea is conflict. • New ideas are disruptive to the status quo and are often met with resistance. They compete against other priorities and initiatives. • This conflict needs to be embraced. For a solution to be broadly successful, it must develop organizational fitness, or be meaningful for the larger network. • The fitness of an original idea can only be enhanced with a useful response to conflict. Conflict therefore is essential to adaptation.
  22. 22. • Proximity is fundamental to creating and maintaining momentum across a network. • If individuals aren't talking about the idea it can’t gain momentum. • Energy generates buzz across a network so that ideas and concepts can quickly spread. If the network is too broad, too early, these same ideas can dissipate quickly. • In general, on-going face-to-face interactions are critical to generating network buzz and creating an “eco effect” around innovative solutions. Serendipity maters.

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