If you are a loyal reader of our blog, you will surely know what a organizational network analysis. However, if this is your first visit here, what follows is a simple definition of this innovative and powerful organizational tool.
An analysis of organizational networks (ONA) is made up of tools and techniques that enable managers to view a map of the connections between individuals, between groups and between organizations, supported by Key Performance Indicators (KPIs). It is like an x-ray of the inner workings of an organization, the blanks in its organization chart. An ONA provides a powerful tool for making visible the patterns of information flow and collaboration between strategically important groups that are hidden.
The Organizational Network Pyramid Model®, developed here at Tree Intelligence, is a management methodology for organizational networks and is based on three strategic relational dimensions:
1. Cooperation: basis of any organizational network, consisting of communication, help, knowledge and project network
2. Energy: psychological dimension of motivation and positive emotions where interpersonal energy is the key to high performance
3. Innovation: succession of co-creation networks emerging from energized cooperation. We regard innovation as an emerging property of energized cooperation.
Benefits of Organizational Network Analysis in Business
1) Increasing innovation
Today, most innovations come through networks of people working together to introduce products, processes and technologies. Innovation is critical to the success of any organization. A network perspective enables business leaders to foster collaboration opportunities based on meaningful and energized relationships that, in turn, drive better innovations with greater likelihood of effective and successful application.
2) Collaboration and Productivity Improvements
Increased productivity comes from collaborative gains and greater access to peer knowledge, experience, and expertise, reducing the time it takes to find and access the sources you need.
3) Smarter organizational decisions
By understanding the structure of existing organizational networks, an ONA provides insight into how work is actually being done within an organization, how decisions are made, and also the effectiveness of existing organizational structures.
4) Large scale change and post-merger integration
Identify the specific individuals or groups that are most likely to have more influence on the boundaries of the whole group, thereby reducing organizational silos and stimulating cultural integration. It is important to take special steps to retain the key players in these networks.
5) Strategic execution and alignment
Alignment shows how a network perspective can help leaders identify misalignment points and accelerate team collaboration in the right direction. Strategic execution benefits from utilizing organizational network analytics to help leaders determine whether target business departments or units are achieving the kind of connectivity needed to produce the desired results.
6) Retention of top talent
An ONA allows you to identify, engage and retain employees who are most connected, most influential, most productive, most experienced and those who are most likely to be satisfied (or dissatisfied) with their jobs, those who are likely to remain (or be able to prevent their exit), increasing the social capital in your organization.
7) Customer Connectivity & Revenue Increase
In today's dynamic, global, knowledge-intensive business environment, the quality of an organization's relationships with its customers is a key factor for long-term success. Strong customer relationships with high levels of trust and mutual knowledge lead to better account penetration, lower costs and increased customer retention. A network perspective can help organizations improve collaboration within their own sales teams, but also with their customers.
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