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Leading in a global networked organization Robin Teigland Center for Strategy and Competitiveness Stockholm School of Economics [email_address] www.knowledgenetworking.org April 2008
[object Object],Connaughton & Daly
[object Object],[object Object],[object Object],Today’s discussion
A world of rapidly growing knowledge …. > A person’s lifetime 18th century One week 2008 Fischbowl 2007
… that becomes quickly outdated …. 50% knowledge relevant 50% knowledge outdated First year of technical-based education Third year of education Fischbowl 2007
[object Object],[object Object],[object Object],[object Object]
A world of rapidly growing knowledge.. Growth Time Output of information and knowledge Human  absorptive capacity Cohen, WM och Levinthal, D A, Absorptive Capacity: A new Perspective on Learning and Innovation, Working paper, Carnegie Mellon University and University of Pennsylvania, October 1989
… and increasing connectivity.  ,[object Object],[object Object]
Increasing degree of globalization ,[object Object],[object Object]
From a multi-domestic company to a successful global firm Multi-domestic Global Integrated Sub7 HQ Sub10 Sub9 Sub8 Sub13 Sub11 Sub3 Sub5 Sub4 Sub1 Sub2 Sub6 Sub14 Sub14
Decade of collaboration at Shell ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Lipnack & Stamps 2007
[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],What are the benefits of global networks?
Cap Gemini – NCN MS Electronic Community ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Teigland & Wasko 2003
Performance differs based on one’s network Firm A High creative Low  on-time High on-time Low  creative  Teigland 2003 High creative Virtual community Firm B
… and on the networks within the firm Teigland et al 2000
Hewlett-Packard (1990s) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Teigland et al 2000
But the move from a multi-domestic company to a globally integrated one is challenging
Proximal collaboration ,[object Object],Allen 1984
Islands of competence despite management’s continuous efforts  Stockholm London Brussels Helsinki Madrid Copenhagen Transferred from  Stockholm Teigland 1998 San Francisco
Trust & reciprocity are essential for knowledge exchange in networks
… and most importantly, management  cannot mandate  social relationships John Eva Hans Miguel Paul Jan Lars Pia Anna Nils Bill Erik Mike Al Alex
Increasing use of Global Virtual Teams Manager Team  Member Team  Member Team  Member Team  Leader Manager Manager Manager GVT: A group of people often with  complementary skills   not normally together  in one location at the same time functioning  across boundaries  of space, time, and organization, working together to achieve a  shared purpose,  and supported by  technology
Great potential from GVTs! ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Schermerhorn 2004 ,[object Object]
[object Object],[object Object],[object Object],Today’s discussion
What are the key challenges to GVTs? ,[object Object],[object Object],[object Object],[object Object],[object Object],Baan 2005
What are the key  challenges  to GVTs? ,[object Object],[object Object],[object Object],[object Object],[object Object],Baan 2005
Improving GVT performance Lipnak & Stamps 2007, Coleman 2006
Achieving collective competence through collaboration Collective competence Group’s ability to work together  to solve problems and achieve common goals Shared norms Shared routines Shared language Shared understanding Created in the course of joint action and problem solving Ruuska & Teigland 2008
Collective competence It’s really important to get a collective perspective in order for everyone to understand the project’s core and to develop the project’s goals and outcomes…a critical point is when everyone is on the same page and is able to look at the project with the same ”set of eyeglasses”. Ruuska & Teigland 2008
GVT collective competency framework Team Tasks Technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Leadership
GVT collective competency framework ,[object Object],[object Object],[object Object],Team Tasks Technology ,[object Object],[object Object],[object Object],Leadership ,[object Object],[object Object],[object Object],[object Object]
The complexity scorecard ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Adapted from Baan 2005
Diversity presents additional challenges  to achieving performance ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Ruuska & Teigland 2008
Cultural differences affect GVT behaviors “ Work-to-live” culture Risk  avoidance + — + Teigland 2003 Knowledge acquisition Knowledge sharing
We live in different worlds – researchers focus on  creating new knowledge/ publications  while companies want to  develop products  that can be sold. And it’s difficult to achieve real cooperation even if you understand one another. There are always  culture crashes  when researchers meet people from the public and private sectors…it takes time to build bridges between the different worlds. Ruuska & Teigland 2008
Team configuration matters! Fully dispersed Three subgroups Two subgroups Least conflict Most trust Most conflict Least trust Polzer et al 2002
Clearly define virtual team roles Coleman 2006
GVT collective competency framework ,[object Object],[object Object],[object Object],Team Tasks Technology ,[object Object],[object Object],[object Object],Leadership ,[object Object],[object Object],[object Object],[object Object]
Develop a clear project charter … ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Ruuska & Teigland 2008
Why spend the time? Reducing complexity to something manageable Identifying priorities and importance, sequence of activities Highlighting interdependence between actors and tasks Creating a common language My view…. Making views explicit
Increase interdependency  Pooled   Sequential Reciprocal High Low Interdependence Thompson 1967 Collective competence increases but so does the potential for conflict  Task Task Task
Conduct joint problem solving tasks ,[object Object],[object Object],[object Object],Ruuska & Teigland 2008
We started to draw pictures for one another.  ”Let’s make a simple sketch, what should the website look like?”  We started by drawing something on the computer, something visible around which we could discuss.  Ruuska & Teigland 2008
Communicate, communicate, communicate ,[object Object],[object Object],[object Object],[object Object],Don’t take silence for agreement
Develop a  rhythm  in meeting frequency ,[object Object],[object Object],[object Object],[object Object],Adapted from Maznevski 2001
Heartbeat evidence – Ineffective team ,[object Object],[object Object],1 3 9 7 5 11 13 Maznevski 2001 Month
Heartbeat evidence – Effective team 1 ,[object Object],[object Object],1 3 9 7 5 11 13 Maznevski 2001 Month
Heartbeat evidence - Effective team 2 ,[object Object],[object Object],1 3 13 9 7 5 11 Maznevski 2001 Month
Create trust through open, balanced communication  ,[object Object],Ruuska & Teigland 2008
Stretch time, don’t overload it  ,[object Object],[object Object],Team  Member Team  Member Team  Member Team  Leader
GVT collective competency framework Team Tasks Technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Leadership ,[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],Technology is not the most important part! Adapted from Maznevski 2001 90% people + 10% technology
Survey on collaboration technologies ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Coleman 2006
Some simple rules  ,[object Object],[object Object],[object Object],[object Object],Keep the technology simple!
Rule 1: Facilitate a level “playing” ground ,[object Object],[object Object],[object Object],Remember this is dynamic! What you set up today is probably not how people will work in one year
Rule 2. Choose the right technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Lo High Adapted fromMaznevski 2001 Technologies are characterized by their richness
Rule 2: Choose the right technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Complexity =  Richness Maznevski 2001
Rule 3: Manage by the task ,[object Object],[object Object],Maznevski 2001 Pooled   Sequential Reciprocal High Low Interdependence Task Task Task
Rule 3: Manage by the task ,[object Object],[object Object],[object Object],Interdependence =  Frequency +  Richness Maznevski 2001 The task may require different amounts of interdependence at different stages
Heartbeat evidence - Effective team 2 ,[object Object],[object Object],1 3 13 9 7 5 11 Maznevski 2001 Month
Rule 4: Develop guidelines  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Reeves-Lipscomb 2001
Rule 4: Develop guidelines  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
GVT collective competency framework Team Tasks Technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Leadership
Leading is looking in all directions  Management Project Team  Project Leader Stakeholders Downwards Outwards Forwards Inwards Upwards Backwards Briner et al 2004
Characteristics of high-performing teams ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
What is project success? Two types of project outcomes 1.  Objective  – Fulfillment of objectives on budget and on time 2.  Subjective  - Satisfaction with project by members Leverage differences among participants to produce innovative and synergistic solutions Ruuska & Teigland 2008
What characterizes strong GVT leadership? ,[object Object],[object Object],[object Object],Baan 2005
Our project leader really understands the different worlds of the project since he has worked both as a practitioner and as an academic.  He is good at networking and communicating with everyone.
Avoid creation of an  “inner circle” ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],More difficult in GVTs!!!
Accessibility and attention  matter more than physical closeness  ,[object Object],[object Object]
Encourage distributed leadership  … ,[object Object],[object Object],[object Object],[object Object]
Make sure you are well connected  Manager Team  Member Team  Member Team  Member Team  Leader Manager Manager Manager
Foster trust to build relationships  Coleman 2006 Practices and discipline build trust,  not who you are in virtual environments
Learning how to move on the axes Caulot 2006
GVT collective competency framework Team Tasks Technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Leadership
How well does the organization  support GVTs?  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Duarte 2006
Evolving global collaboration at Volvo IT
Available methods and tools at Volvo IT
Virtual team guide and exercises
[object Object],[object Object],[object Object],Today’s discussion
Numerous virtual team space tools… Coleman 2006
… and external social media sites Rey 2008
The new channels of communication ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Sun Microsystems
Match the tool to the goal ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Using wikis: Target (Retail chain in USA) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Coleman 2006
Facilitating the virtual workforce ,[object Object],[object Object]
Improving global collaboration  ,[object Object],[object Object]
Unilever’s pilot in Second Life
IBM’s jam sessions in Second Life
How can social networking sites be leveraged? ringsidenetworks.com
Facebook Fridays – Embracing social media ,[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Sun Microsystems embraces social media
The future manager portal at Cisco
Tomorrow’s meeting ,[object Object],[object Object]
Why use these new tools?  What is our business purpose? Melcrum 10/07
But open boundaries mean knowledge leakage… We pass over the nondisclosure agreements of different companies and trade company secrets all the time.   Teigland 2003
Dual, and at times conflicting, loyalties  Loyalty Loyalty Organization Professional network
Individuals make  choices   about how they use their knowledge… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
And if you are on the fence… ,[object Object],[object Object],[object Object],Gartner: “Predicts 2007:Web 2.0 and Consumerization Forge Into Enterprise” “Wikis and Social Software, 2007” ,[object Object],[object Object]
Create company guidelines for using social media ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],When trusted, employees feel empowered to do the right thing!
There are many examples online Download the guidelines as a 6-page PDF.  http://www.wordbiz.com/x9ksp38/IBM_Blogging_Policy_and_Guidelines.pdf
Tomorrow’s workforce is…
… building skills today Xfire.com, MMPORG.com, June 2007 ,[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object]
GVT collective competency framework Team Tasks Technology ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Leadership
Leading and learning Leadership and learning are indispensable to each other.” - John F. Kennedy Leadership, teaching, and learning are inextricably interlinked. - Jack Welch
[object Object],[object Object],[object Object],networks. Adapted from Lévy 1997
Sources ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
What is a network? A set of actors connected by ties ,[object Object],[object Object],[object Object],Tie ,[object Object],[object Object],[object Object],[object Object],Actor

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Global Virtual Teams Teigland

  • 1. Leading in a global networked organization Robin Teigland Center for Strategy and Competitiveness Stockholm School of Economics [email_address] www.knowledgenetworking.org April 2008
  • 2.
  • 3.
  • 4. A world of rapidly growing knowledge …. > A person’s lifetime 18th century One week 2008 Fischbowl 2007
  • 5. … that becomes quickly outdated …. 50% knowledge relevant 50% knowledge outdated First year of technical-based education Third year of education Fischbowl 2007
  • 6.
  • 7. A world of rapidly growing knowledge.. Growth Time Output of information and knowledge Human absorptive capacity Cohen, WM och Levinthal, D A, Absorptive Capacity: A new Perspective on Learning and Innovation, Working paper, Carnegie Mellon University and University of Pennsylvania, October 1989
  • 8.
  • 9.
  • 10. From a multi-domestic company to a successful global firm Multi-domestic Global Integrated Sub7 HQ Sub10 Sub9 Sub8 Sub13 Sub11 Sub3 Sub5 Sub4 Sub1 Sub2 Sub6 Sub14 Sub14
  • 11.
  • 12.
  • 13.
  • 14.
  • 15. Performance differs based on one’s network Firm A High creative Low on-time High on-time Low creative Teigland 2003 High creative Virtual community Firm B
  • 16. … and on the networks within the firm Teigland et al 2000
  • 17.
  • 18. But the move from a multi-domestic company to a globally integrated one is challenging
  • 19.
  • 20. Islands of competence despite management’s continuous efforts Stockholm London Brussels Helsinki Madrid Copenhagen Transferred from Stockholm Teigland 1998 San Francisco
  • 21. Trust & reciprocity are essential for knowledge exchange in networks
  • 22. … and most importantly, management cannot mandate social relationships John Eva Hans Miguel Paul Jan Lars Pia Anna Nils Bill Erik Mike Al Alex
  • 23. Increasing use of Global Virtual Teams Manager Team Member Team Member Team Member Team Leader Manager Manager Manager GVT: A group of people often with complementary skills not normally together in one location at the same time functioning across boundaries of space, time, and organization, working together to achieve a shared purpose, and supported by technology
  • 24.
  • 25.
  • 26.
  • 27.
  • 28. Improving GVT performance Lipnak & Stamps 2007, Coleman 2006
  • 29. Achieving collective competence through collaboration Collective competence Group’s ability to work together to solve problems and achieve common goals Shared norms Shared routines Shared language Shared understanding Created in the course of joint action and problem solving Ruuska & Teigland 2008
  • 30. Collective competence It’s really important to get a collective perspective in order for everyone to understand the project’s core and to develop the project’s goals and outcomes…a critical point is when everyone is on the same page and is able to look at the project with the same ”set of eyeglasses”. Ruuska & Teigland 2008
  • 31.
  • 32.
  • 33.
  • 34.
  • 35. Cultural differences affect GVT behaviors “ Work-to-live” culture Risk avoidance + — + Teigland 2003 Knowledge acquisition Knowledge sharing
  • 36. We live in different worlds – researchers focus on creating new knowledge/ publications while companies want to develop products that can be sold. And it’s difficult to achieve real cooperation even if you understand one another. There are always culture crashes when researchers meet people from the public and private sectors…it takes time to build bridges between the different worlds. Ruuska & Teigland 2008
  • 37. Team configuration matters! Fully dispersed Three subgroups Two subgroups Least conflict Most trust Most conflict Least trust Polzer et al 2002
  • 38. Clearly define virtual team roles Coleman 2006
  • 39.
  • 40.
  • 41. Why spend the time? Reducing complexity to something manageable Identifying priorities and importance, sequence of activities Highlighting interdependence between actors and tasks Creating a common language My view…. Making views explicit
  • 42. Increase interdependency Pooled Sequential Reciprocal High Low Interdependence Thompson 1967 Collective competence increases but so does the potential for conflict Task Task Task
  • 43.
  • 44. We started to draw pictures for one another. ”Let’s make a simple sketch, what should the website look like?” We started by drawing something on the computer, something visible around which we could discuss. Ruuska & Teigland 2008
  • 45.
  • 46.
  • 47.
  • 48.
  • 49.
  • 50.
  • 51.
  • 52.
  • 53.
  • 54.
  • 55.
  • 56.
  • 57.
  • 58.
  • 59.
  • 60.
  • 61.
  • 62.
  • 63.
  • 64.
  • 65. Leading is looking in all directions Management Project Team Project Leader Stakeholders Downwards Outwards Forwards Inwards Upwards Backwards Briner et al 2004
  • 66.
  • 67. What is project success? Two types of project outcomes 1. Objective – Fulfillment of objectives on budget and on time 2. Subjective - Satisfaction with project by members Leverage differences among participants to produce innovative and synergistic solutions Ruuska & Teigland 2008
  • 68.
  • 69. Our project leader really understands the different worlds of the project since he has worked both as a practitioner and as an academic. He is good at networking and communicating with everyone.
  • 70.
  • 71.
  • 72.
  • 73. Make sure you are well connected Manager Team Member Team Member Team Member Team Leader Manager Manager Manager
  • 74. Foster trust to build relationships Coleman 2006 Practices and discipline build trust, not who you are in virtual environments
  • 75. Learning how to move on the axes Caulot 2006
  • 76.
  • 77.
  • 79. Available methods and tools at Volvo IT
  • 80. Virtual team guide and exercises
  • 81.
  • 82. Numerous virtual team space tools… Coleman 2006
  • 83. … and external social media sites Rey 2008
  • 84.
  • 85.
  • 86.
  • 87.
  • 88.
  • 89. Unilever’s pilot in Second Life
  • 90. IBM’s jam sessions in Second Life
  • 91. How can social networking sites be leveraged? ringsidenetworks.com
  • 92.
  • 93.
  • 94. The future manager portal at Cisco
  • 95.
  • 96. Why use these new tools? What is our business purpose? Melcrum 10/07
  • 97. But open boundaries mean knowledge leakage… We pass over the nondisclosure agreements of different companies and trade company secrets all the time. Teigland 2003
  • 98. Dual, and at times conflicting, loyalties Loyalty Loyalty Organization Professional network
  • 99.
  • 100.
  • 101.
  • 102. There are many examples online Download the guidelines as a 6-page PDF. http://www.wordbiz.com/x9ksp38/IBM_Blogging_Policy_and_Guidelines.pdf
  • 104.
  • 105.
  • 106.
  • 107. Leading and learning Leadership and learning are indispensable to each other.” - John F. Kennedy Leadership, teaching, and learning are inextricably interlinked. - Jack Welch
  • 108.
  • 109.
  • 110.