Nix Degrees of Separation: Geopolitics of Networking in Globally Distributed Teams

1
Nix Degrees of SeparationGeopolitics of
Networkingin Globally Distributed Teams

• Marietta L. Baba, Dean of Social Science
• Professor of Anthropology
• Michigan State University

2
Six Degrees of Separation

• Computer modeling of small world network
  structure and dynamics
• Six degrees network model
• Interaction of two basic principles
• Social networks are comprised of clusters of
  mutually affiliated individuals (order)
• Linkages between clusters are created by
  idiosyncratic actions of agents (disorder)

3
Small World Networks
Source Watts and Strogatz, 1998
4
Globally Distributed Team (GDT)

• Definition
• An interdependent work group comprised of
  culturally diverse members based in two or more
  nations who share a collective responsibility for
  making or implementing decisions related to a
  firms global strategy
• Relies on technology as a medium for
  communication and coordination

5
GDT A New Organizational Form

• The rise of the GDT reflects
• Shift from physical production to
  knowledge-intensive work
• Need for flexibility to access knowledge wherever
  it is located
• Corporate strategy requires integration of local
  knowledge toward a global framework
• Team format supports interdependency

6
GDT Knowledge Work RequiresCognitive Convergence

• Knowledge Work GDT members share and integrate
  existing knowledge, and create new knowledge that
  adds value
• Cognitive convergence A process by which
  individual cognitive structures become more
  similar or overlapping

7
How Does Cognitive Convergence Happen?

• Knowledge acquisition
• Basic social processes of communication,
  interaction and collaboration
• Active processing of information builds and
  modifies cognitive structures
• Mechanisms verbalization and direct observation
  of others work

8
Nix Degrees of Separation

• GDT network structure and dynamics must permit
  knowledge integration on a global scale to yield
  innovation (nix degrees)
• What are the design principles?
• Relatively flat and boundary-less
• Balance of convergence and divergence
• How to manage the inherent contradiction?

9
NSF Research Questions

• What factors influence cognitive convergence on a
  GDT?
• How does cognitive convergence affect
  performance?
• Performance criteria
• Output meets or exceeds client standards
• Social processes enable members to work
  interdependently in the future
• Contribution to members growth and well being

10
GDT Database
11
Geographic Distribution Patterns
12
Geographic Distribution Patterns

• Fault Line
• Co-occurrence of multiple forms of affiliations
  in one place
• Differentiated from other such co-occurrences
• Strong identity

• Power Cluster
• Concentration of people on the ground
• Co-located with key corporate resources (e.g.,
  HQ)
• Agents with agendas

13
Geographic Distribution Summary
14
Fault Line Power Cluster C4

• Communication
• Native language, F2F interaction
• Coordination
• Synchronization of activity
• Cooperation
• Mutually shared interests
• Common culture
• Agreement of perceptions and interpretations

15
Case Study Highlights

• Celestial Global Customer Team
• US consumer products manufacturing firm
• New GDT dedicated to improving business relations
  with a major global retail customer based in
  France (marketing strategy)
• Part of a global reorganization project
• 20 team members, primarily French, American, and
  Belgian, with a core subgroup in Paris and others
  in US, Brussels, Latin America, and Asia

16
(No Transcript)
17
(No Transcript)
18
Case Study Highlights

• American global strategy transfer a proven
  marketing management method to French retail
  customer, Voila
• Product Family Management (PFM)
• Creates a business plan around a product family
• Multifunctional partner team leads project
• Grounded in detailed shopper research that drives
  store-level decision making
• Requires close collaboration between manufacturer
  and retailer

19
Contrasting Business Models

• PFM business model
• Multi-skilled team with strong leader
• Close partnership
• Open and direct access to customer
• Anglophone

• Voila business model
• Powerful functional managers
• Arms length
• Access to customer via hierarchy
• Francophone

20
Case Study Highlights

• PFM pilot test set up in a Voila store in Asia
• Hard business results would prove concept
• Global network assembled to run pilot
• Anxious Voila middle managers champion a French
  Way to do PFM
• Enlist French members of Celestial GDT
• Former French team leader signs up to help
• Warring factions break out on GDT
• Power struggle between Fr and Am leaders

21
(No Transcript)
22
Case Study Highlights

• Voila executives reject successful pilot test
  results, much to Americans surprise
• Am GDT leader orders merger of Fr and Am projects
  
• Videoconference from Hell
• Threat of career ruination for GDT members
• Shuttle diplomacy surfaces hidden knowledge
• Innovation in PFM (nix degrees)

23
Case Study Highlights

• Fr leader leaves and Am takes over
• End of power struggle
• Evidence of increase in convergence and decrease
  in divergence
• Behavioral convergence
• New network structure for GDT

24
(No Transcript)
25
Six Degrees vs. Nix Degrees

• Six Degrees Model
• Multiple local clusters
• Linked by short cuts
• Agents random acts

• Nix Degrees Model
• Large glocalized cluster
• Linked to smaller nodes
• Power and knowledge brokers

26
Networks in Corporations
Source Roethlisberger and Dickson, 1939
27
Network Dynamics Over Time
Time
Source Watts, 2003