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"The traditional methods for driving operational excellence in global organizations are not enough. The most effective organizations make smart use of employee networks to reduce costs, improve efficiency and spur innovation. "
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CIOs often try to address these challenges by relying on the same managerial tools they use to pursue operational excellence: establishing well-defined roles, best practice processes and formal accountability structures.
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The key to delivering both operational excellence and innovation is having networks of informal collaboration. Within IT organizations in large global companies, we have seen that innovative solutions often emerge unexpectedly through informal and unplanned interactions between individuals who see problems from different perspectives.
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"Companies can spot these influencers, and work out all sorts of other things about their customers, by crunching vast quantities of calling data with sophisticated “network analysis” software. Instead of looking at the call records of a single customer at a time, it looks at customers within the context of their social network. The ability to retain customers is particularly important in hyper-competitive markets, "
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IBM, the supplier of the system used by Bharti Airtel, says its annual sales of such software, now growing at double-digit rates, will exceed $15 billion by 2015
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Ellen Joyner of SAS, an analytics firm based in Cary, North Carolina, notes that more and more financial firms are using the software to uncover fraud. The latest version of SAS’s software identifies risky borrowers by examining their social networks and Internal Revenue Service records, she says.
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"The SAP BusinessObjects Social Network Analyzer came out last year, combining business intelligence with relationship data to create a “social intelligence” solution. It’s a prototype from the SAP BusinessObjects Innovation Center. It can combine information from HR systems, CRM systems, project databases, committee attendee lists, distribution lists, and any other other system that contains relationships between people."
Sunghwa Moon asked in his recent comment on this blog about what would be a ‘consulting methodology’ for HR 2.0. This is what I use, although I’d describe it as a process rather than a methodology, as I’d only ever use it as a guide and would be unlikely to ever follow this exact flow. And I’d see it as something that an organisation can use itself, rather than needing a consultant to support (albeit I believe that the right consultant would be extremely useful in advising and supporting on this).
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The process starts with identifying the required organisational capability, ie what sort of social, as well as human and organisational capital, is the business (or public sector organisation) trying to create?
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Because the HR 2.0 strategy is all about people, and people are different, I include a step here to think about the different talent groups or other segmentations that exist and need to be treated differently.
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Perhaps there is a method to not only use KM data but also to offer characteristics of each individual based on their work relationships and interaction. Actually using the knowledge and the skills is what is important. Getting relationships identified will enhance the potential for using the knowledge and identifying the key players for any project. SNA provides this added value.
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Peter Drucker suggested in 1997 “the productivity of knowledge and knowledge workers will not be the only competitive factor in the world economy. It is, however, likely to become the decisive factor, at least for most industries in the developed countries
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SNA highlights who the critical resources are in the organization beyond knowledge, skills, and abilities. This insight might help with leadership identification, trust issues, communication strengths / deficiencies, or innovation skills that are intangible and hidden in most organizations.
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