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Are You the Bottleneck in Your Organization?
"You may be the reason your company isn't growing. You are micromanaging — and it's stifling the organization you are trying to build."
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Entrepreneurs cannot avoid getting their hands dirty with the nitty-gritty. That said, decisions and the information necessary to make them should be pushed down the ranks whenever possible
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Successful entrepreneurs know that their time is best spent preparing their employees for potential difficulties and helping those same employees learn from their mistakes. Only then can future mistakes be avoided.
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Does social media really correlate with the bottom line? Color me skeptical
A study has found that revenue, gross margins and profits correlate nicely with companies that are the most engaged with social media. Should you build a portfolio around these highly engaged social media friendly brands? Probably not.
The Fallacy of Financial Metrics
In both entrepreneurial and larger companies, we too often spend time focusing on the desired financial performance target, rather than the inputs that drive those numbers. Because boards, investors and management demand an objective way to measure performance, we often go right to the result without focusing on what caused those results.
Putting a Price on Social Connections
Researchers at IBM Research and MIT's Sloan School of Management found that the average e-mail contact was worth $948 in revenue. To unearth that and other data, they used mathematical formulas to analyze the e-mail traffic, address books, and buddy lists of 2,600 IBM consultants over the course of a year. (Their identities were shielded from researchers, who viewed them only as encrypted numbers, known as hash codes.) They compared the communication patterns with performance, as measured by billable hours.
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The IBM-MIT study found that consultants with weak ties to a number of managers produced $98 per month less than average. Why? Those employees may move more slowly as they process "conflicting demands from different managers," the study's authors write. They suffer from "too many cooks in the kitchen."
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IBM researchers fine-tuned management of industrial supply chains a half-century ago; now their challenge is promoting the flow of knowledge throughout the workforce.
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Economist Finds True Believers in Business Value of Social Software: Enterprise 2.0 Blog: News, Coverage, and Commentary
The Economist Intelligence Unit reported that Web 2.0 has moved from buzzword to reality in many of the world’s largest corporations. They conducted a survey of 406 senior executives worldwide and found that 79% of respondents see the collaborative web as a way to boost revenues and cut costs.
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