KM Chicago (June, 2007)

1. Presentation to KM Chicago 12 June 2007 Chris Fletcher—Director, Knowledge Management Asia Pacific region Deloitte Consulting Organisational Network Analysis

3. “ The new currency won’t be intellectual capital. It will be social capital – the collective value of whom we know and what we’ll do for each other.” — James Kouzes, co-author of The Leadership Challenge Business Week – February 2006

4. Social Capital and KM So what is Social Capital? “ In sum, it is the value people produce when they work together to achieve mutual goals. It emerges when people build trust, a shared understanding, and a willingness to cooperate in ways that produce something greater than the sum of their parts” Robin Athey – Its 2008: Do You Know Where Your Talent Is? Connecting People for Performance So what does this mean for KM?

5. The impact of Social Capital on KM A change in the KM model……… Connecting the right people just-in-time, canvassing them to gain their knowledge and advice in the context of a particular business problem or pursuit, synthesizing that knowledge and applying it to the issues at hand Newer thinking: Context & Connection The acquisition, organisation & aggregation, storage and dissemination of content under organisation wide taxonomies using customised tools and repositories, just in case it might be reusable Older thinking: Content & Collection

6. Six Degrees of Separation……

13. Business Case Hypothesis Question formulation Survey Delivery Results Analysis Presentation Getting from “So what” to Action” What is the process for undertaking ONA?

17. Sample Survey

21. Each question will provide different patterns Rate your understanding of each person’s areas of expertise Who would you typically turn to for assistance in thinking through a complex business problem

27. Shanghai network Deputy Mgrs, Consultants and Analysts on the periphery Director Manager Snr Manager Snr Exec Analyst Consultant Deputy Mgr Level

28. Beijing network Distinct cluster heavily connected by Senior Managers Cluster not connected to rest of Beijing office Director Manager Snr Manager Snr Exec Analyst Consultant Deputy Mgr Level

29. Information Flow: Hierarchy Network (Snr Exec – Manager) Snr Exec, Directors and Senior Managers play a central role in the network Director Manager Snr Manager Snr Exec Level

30. Information flows - Group “ How often do you typically seek work related information from this person” Responses of: Very Frequently/Frequently FMT have little interaction with outside groups & the majority of practitioners are located in Beijing EA has fragmented into two sub-groups causing interaction in the group to be lower than expected. Connections between the sub-groups is primarily at the consultant/analyst level. EA interaction with other groups is also low MFG EA GFSI HCAS S&O E&R FMT TMT Group - - - - - - - 3.3% MFG 50% - 0.8% - - - 1.2% - E&R - - - - 1.0% 10.0% MFG (1) 1.2% - - - - - E&R (2) 17.9% 0.2% 1.2% 0.3% 0.1% 0.2% FMT (41) 3.4% 23.3% 0.6% - - - TMT (10) 0.9% 0.6% 18.7% 0.4% 0.4% 0.8% GFSI (16) 1.7% 1.9% 0.8% 15.0% 1.2% 1.9% HCAS (16) 0.5% 0.5% 0.7% 0.5% 5.0% 0.7% EA (102) 1.1% 2.7% 2.3% 1.0% 0.3% 16.7% S&O (30) FMT TMT GFSI HCAS EA S&O

31. Brokers are leverage points to enhance collaboration “ How often do you typically seek work related information from this person” Responses of: Very Frequently/Frequently Network with top 18 brokers (10% of practice) and peripheral players highlighted Broker Peripheral player Current Analysis Future state Network with top 18 brokers (10% of practice) and peripheral players linked together By linking brokers and peripheral players, there has been a significant improvement in collaboration and information flows around the network Target Actual 15 4.7 Centrality 2 4.1 Cohesion 10% 2.7% Density 15 2 10% Target 76% 28% 59% Change Actual 8.3 Centrality 3.2 Cohesion 4.3% Density

33. Every manager knows that business runs better when people within an organisation know and trust one another -- deals move faster and more smoothly, teams are more productive, people learn more quickly and perform with more creativity. Strong relationships, most managers will agree, are the grease of an organization. Business gets done without them, but not for long and not very well. How to Invest in Social Capital Laurence Prusak Donald J. Cohen Havard Business Review

34. A member firm of Deloitte Touche Tohmatsu