Network Analysis at Capital One

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Network Analysis at Capital One

• Tangible actions to build and assess Communities
  of Practice
• November 4, 2005

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Capital One overview

• A Cutting-Edge Company for the Information
  AgeStarted as an independent company in 1995,
  Capital One has quickly risen to the top of the
  financial services industry in the U.S., with a
  global customer base of 48.9 million and managed
  loans totaling 83.0 billion. Through our
  pioneering information technology efforts,
  Capital One is in a prime position to lead the
  financial services marketplace through this
  century. Our success is directly attributed to
  our progressive efforts in information
  technology, customer acquisition, and customer
  retention. Through our proprietary
  Information-Based Strategy (IBS), we have the
  ability to tailor our products to the appropriate
  customers as well as ensure that each individual
  customer's needs are being serviced efficiently.
  We also continue to look at ways in which we can
  apply our innovative IBS to capitalize on
  promising markets, including auto finance, home
  loans, and patient financing.
• Our PeopleThe essence of Capital One is our
  people. We remain committed to bringing the
  brightest and most talented people on board and
  vow to our associates to provide a comfortable
  work environment coupled with incredible growth
  opportunities.

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Our human capital strategy focuses on associates
Win with our People
Improving Career Development
Planning and Engaging Our Workforce
Integrating More Acquisitions
Implementing Best People Practices
best people strategically bold intellectually
rigorous well-managed ownership
open teamwork respect for each other respect for
our customers integrity
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Associates have many alignments in a matrix
organization
Associate
Department
Community of Practice
Team

• Defined
• Hierarchical/collaborative
• Assigned/elected
• Results-focused

• Limited
• Hierarchical
• Assigned
• Organizationally-focused

• Evolving
• Collaborative
• Elected
• Competency-focused

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Our Productivity Team tackles associate and
business needs

• Vision
• We will improve workforce productivity and
  thereby raise Capital One performance
• We will accomplish this by connecting people to
• People
• Practices
• Information
• Tools
• And bring as much as possible to My One Place
  our portal

A major offer is our community strategy
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Developing Communities fits nicely into our
strategy
Improving Career Development
Integrating More Acquisitions
Implementing Best People Practices
Planning and Engaging Our Workforce

• Connect people who do similar work while being
  geographically and organizationally dispersed
• Accelerate onboarding, mentoring and networking
• Institutionalize individual know how

• Enable just-in-time learning
• Provide persistent online space for
  collaboration, research and documentation
• Allow greater access to expertise

• Offer a comfortable space for specific
  disciplines to learn from one another

• Connect associates in a trusting environment
• Demonstrate that members are not alone
• Owned by community members

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Developing Communities fits nicely into our
strategy
Improving Career Development
Integrating More Acquisitions
Implementing Best People Practices
Planning and Engaging Our Workforce

• Connect people who do similar work while being
  geographically and organizationally dispersed
• Accelerate onboarding, mentoring and networking
• Institutionalize individual know how

• Enable just-in-time learning
• Provide persistent online space for
  collaboration, research and documentation
• Allow greater access to expertise

• Offer a comfortable space for specific
  disciplines to learn from one another

• Connect associates in a trusting environment
• Demonstrate that members are not alone
• Owned by community members

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A typical intervention may look like this
community implementation project
tech
content
pilot
launch
assess
plan
run
assess
apply
socialization
roles
explicit expectations
advocate adoption
core members
portal / business
business / portal
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Network analysis helps us build and assess
communities

• Build
• Understand the current state
• Establish a baseline of measurement
• Produce a handful of meaningful action items
• Identify resources for launching a new community
• Assess
• Survey community members after 9 months
• Analyze impact of productivity intervention
• Validate investment and expand scope if warranted

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We have piloted network analysis with two
audiences
Content Management System Group

• 100 potential members
• Single subject matter expert (SME)
• SME transitioning
• Desire to become less dependent on a single
  resource

• 600 potential members
• No defined leadership
• Critical competence with centralized
  methodologies
• Desire to connect associates, develop core PM
  competencies and replicate best practices

Project Management Community
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Findings and recommendations are relevant and
actionable
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Business leaders welcomed clear steps for moving
ahead

• The academic was turned actionable
• A wealth of options were exposed through network
  analysis
• We could not realistically act on them all and
  choose just a handful that were most relevant to
  us (you may have chosen others)
• Once these are achieved, we can move on to the
  next tier of actions
• Specific analysis data will be used to target
  actions
• Stakeholder comments included
• This is great. I know exactly how we can
  integrate these recommendations into our current
  plans.
• Now that we know what has the biggest impact, we
  can solicit resources.
• These steps will be the first to be implemented,
  right? Are there additional steps once we get
  these done?

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Findings and recommendations are relevant and
actionable
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What we expect in the PM Community as a result of
ONA
Please indicate the extent to which each person
has provided you with information you have used
to accomplish your work within the last year.
Enhanced network with the top 15 brokers and top
15 peripheral members connected
Existing network with top 15 brokers (10 of
population) highlighted
Network Measures Target
Network Measures Target
Response of infrequently to very frequently
Response of infrequently to very frequently
Note A broker is defined as someone who sits on
the shortest path between several other
individuals
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We will also save another 1million
Social Network Analysis estimates time savings
per month Please provide an estimate below
for the typical time saved per month as a result
of information, advice or other resources
received from each person.
Converts time savings into value (63.80/hr)
Current PM Community Savings/Year
Potential PM Community Savings/Year
1,780,020 810,005 2,590,250
Within departments Between departments Total
1,920,124 1,676,664 3,596,788
Within departments Between departments Total
Note Hourly rate is the weighted average of
respondents personnel cost. See appendix for
cost savings break down.
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And answer the developmental needs (associate
business)
Current and Desired Project Management Expertise
of Individuals
Expertise
Note these two skills are the least expertise in
the Network, Procurement 7 people and Cost
Management 2 people
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Network analysis may have a bright future at
Capital One

• We need to determine how the recommendations are
  implemented at a community level
• 17 additional communities are in various stages
  of development
• Do we include network analysis in each
  intervention?
• Associate development is critical to the success
  of our performance culture
• Do associates and their managers discuss the
  Personal Network recommendations in order to
  develop stronger connections?
• Do associates improve their professional identity
  and broaden their influence and learning by
  improving their network?
• We will analyze our pilots to answer these
  questions

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Appendix
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The online space will be familiar to associates