International Journal of Training and Development 4:4 ISSN 1360-3736 Networking characteristics of African-American managers: empirical validation and training applications Stéphane Brutus and Ancella Livers This article describes the impact of informal networks on managerial effectiveness in general and, more specifically, for that of African-American managers. Previous research has demonstrated that network characteristics conducive to increased performance for African-Americans differed significantly from those of white managers (e.g. Ibarra, 1995). These results are further validated in this study through the use of a different performance measure. Networking characteristics and multi-raters’ performance information were collected from 185 managers. Results show that high performing African-American managers possess informal networks composed of a higher proportion of other African-Americans than their low performing counterparts. The reverse trend was found for white managers. A description of a training module based on these results is offered. Introduction The importance of ‘linking up’ with others to progress in organisations has been folk wisdom for a long time. Tornow and Pinto (1976) analysed the job of over 400 managers and found that middle-level managers spend relatively more time on ‘coordinating the effects of those over whom one has no direct control’ and ‘working across organizational boundaries’ than more traditional managerial tasks. In his seminal studies of managerial work, Mintzberg (1973) also underscored the liaison role of managers in organisations. Today, most competency models include the ability to ❒ Stéphane Brutus, Concordia University, Faculty of Commerce and Administration, 1455 de Maisonneuve W. (GM 503–15), Montréal, Québec, Canada H3G 1M8. Ancella Livers, Center for Creative Leadership, PO Box 26300, Greensboro, NC 27438–6300, USA. Blackwell Publishers Ltd. 2000, 108 Cowley Road, Oxford OX4 1JF, UK and 350 Main St., Malden, MA 02148, USA. Networking characteristics of African-American managers 287 span organisational boundaries or the ability ‘to network’. In the past few years, behavioural scientists have investigated this issue in more systematic fashion. A stream of empirical research on the role that personal relationships play in the life of managers is slowly emerging in the literature. The determinants of these relationship patterns (or informal networks) and the extent to which these are linked to meaningful workplace outcomes are fast becoming an important field of study in organisational sciences. Carrol and Teo (1996) found that individuals in managerial positions have much larger informal networks than non-managers. The present article continues along those lines by (a) describing the importance of informal networks for the effectiveness of managers; (b) adding some empirical support for this assertion; (c) investigating the special case of African-American managers; and (d) describing a training module based on this research. A natural evolution of the research generated on this topic is its application in organisations, as an additional tool that managers can use to increase their effectiveness at work. This article also describes how knowledge on informal networks has been integrated in a leadership development programme specifically designed for African-American managers. Informal networks Informal networks have been defined as discretionary patterns of interaction as opposed to formal, specified relationships between individuals (Ibarra, 1993). These patterns are influenced but certainly not restricted to those relationships prescribed by the organisational chart. They emerge naturally within organisations and are usually broader than formal networks (Tichy, 1981). Informal networks serve various purposes for managers. First, they have expressive utility in that they constitute important sources of friendship and social support. They also possess instrumental utility as managers benefit from these relationships by gaining access to resources and information, increasing their exposure across the organisation, and receiving feedback on their performance (Ibarra, 1993). In essence, informal networks represent a critical element of managerial work. Racial differences in networking characteristics The management of one’s informal network is particularly important to AfricanAmerican managers because the context within which they work is often different than that of their white counterparts. Making these contextual differences even more salient are issues specific to the African-American experience that often go unnoticed or are discounted by the corporate culture. Often people do not recognise, for example, that many African-Americans find it stressful to work daily in a culture that is simply different or that does not always recognise and value their contributions and worth. Consequently, African-Americans frequently seek out other African-Americans with whom they can practise their own cultural behaviours, gain emotional support and ease the stress the workplace creates. This concept of wanting to be with like-kind is not unique to African-Americans. Indeed, the desire to be with similar-others is universal. Similarity brings comfort, ease of communication, and a level of understanding of each other that is harder to achieve otherwise. Homophily is the extent to which two individuals are similar in identity (Ibarra, 1993); it tends to guide network formation in that people like to associate with similar-others (Tuma and Hallinan, 1979). Although there exists many bases for similarity, it is generally well accepted that race is one of the most salient feature of similarity. The salience of race for the formation of African-Americans’ networks also increases by virtue of their low representation in organisations (Mehra et al., 1998). Although these effects are interesting they may mask the fact that, for members of different groups, different networking patterns may lead to similar outcomes (Ibarra, 1995; Burt, 1992). Homophily is one network characteristic where this interaction effect has been found. The under-representation of minorities in the power circles of organisations puts 288 International Journal of Training and Development Blackwell Publishers Ltd. 2000. homophily in direct competition to instrumental ties for minority group members (Ibarra, 1993). In other words, for African-American managers, homophily often comes at the expense of instrumentality. It has been suggested that, to achieve similar success as their white counterparts, African-Americans need to emulate their network strategies (i.e., have networks composed mainly of majority group members) (Nkomo, 1992). This strategy, labelled the ‘deficit’ or ‘assimilation’ perspective, stems from the traditional distribution of power in organisations and the paucity of minorities in high hierarchical levels. According to this perspective, informal networks composed largely of majority group members provide critical access to instrumental ties and create the perception of assimilation and conformity to organisational norms. Naturally, affective needs are less likely to be met with the assimilation perspective. Note that the tension between homophily and access to instrumental ties is not present for white managers—both are easily attainable. Another option, the pluralist or functional differentiation perspective, poses that African-American managers can integrate racial and professional identity by developing instrumental relationship with majority group members (without relying on them exclusively) and by obtaining psychological support from other minorities. This perspective requires that managers navigate the organisation by adapting their networks and that they leverage the need for homophily with organisational constraints. This approach provides managers with instrumental benefits as well as affective ones. Although the benefits of this approach are obvious, the costs are also significant; these include the energy required to maintain these two circles and the fact that membership in one group often creates difficulties for membership in the other. Empirical validation of pluralistic perspective In order to further validate Ibarra’s (1995) findings, data on the networking characteristics of African-Americans and whites were collected. Research on the instrumentality of networks has used a variety of criteria such as finding a job, future promotion (Brass, 1984), and career mobility (Burt, 1992). Ibarra (1995) used a comparison of a few dozen of high potential and ‘regular’ managers to investigate this issue. To replicate Ibarra’s (1995) findings, a large sample and a continuous performance criterion of performance were used. Both of these methodological features allow for a more powerful test of the hypotheses than previously. In this design, network characteristics (i.e., homophily) from African-American and white managers from different organisations are analysed and contrasted. Moreover, the relationships between homophily and multi-source ratings of managerial effectiveness are investigated. Specifically, the intent of these analyses is to test whether differences in networking patterns of African-Americans and white managers lead to similar performance outcomes. Again, it was hypothesised that homophily would be present (i.e., managers tend to network with same-race others) and that the relationship between homophily and managerial effectiveness would be positive for African-American managers (i.e., more African-Americans, more effectiveness). Methodology Data from 185 managers participating in a leadership development programme was used for the study. These managers were part of one of two programmes offered by the Center for Creative Leadership: the African-American Leadership Program (ALP) or the Leadership Development Program (LDP). Participants in both programmes were from different organisations, representing a wide range of industries. The average age of the participants was 42 years, most managers were male (60 per cent), and held a middle to high-level managerial position (87 per cent). Although some African-American managers participated in the LDP, a large majority of the AfricanAmerican sample came from the ALP (98 per cent). In total, 140 African–American managers and 45 white managers were included in the sample. Blackwell Publishers Ltd. 2000. Networking characteristics of African-American managers 289 Data collection Prior to the development programmes, each manager and selected subordinates, peers, and supervisors had to complete a performance survey targeted at the programme participant. This process, commonly referred to as multi-source feedback, involves the collection of performance evaluation from multiple others. Data collection also involved the distribution of a sociometric questionnaire which was similar to a questionnaire used by Ibarra (1995). The questionnaire required each manager to list the names of the ‘people with whom they associate with at work’. From this list, a series of questions were to be answered. First, respondents had to provide demographic and organisational information about each tie: race, gender, hierarchical position in relation to the respondent, frequency of interaction, and intimacy. The last part of the questionnaire consisted of a series of pairwise judgements about whether or not the ties knew each other. Measures Homophily consisted of the percentage of same-race ties in a manager’s network. Performance data were collected through Benchmarks, a multi-source feedback instrument designed by the Center for Creative Leadership. Benchmarks is a multirater feedback instrument that utilises ratings from self, subordinates, superiors, and peers (McCauley et al., 1989; McCauley and Lombardo, 1990). The development of Benchmarks is described by McCauley and Lombardo (1994). Ratings on the Managerial Skills and Perspectives section of Benchmarks (16 scales, 106 items) from subordinates, peers, and supervisors were used as the basis for this study. Note that selfratings were not included for their lack of validity (Mabe and West, 1982). A threestep aggregation procedure yielded one overall performance rating for each manager; first, the ratings on the 16 scales were averaged for each individual rater, and, second, the average of the 16 scales was further aggregated within sources to derive an average performance rating for self, subordinates, peers, and supervisors (alphas ranging from .89 to .95). The aggregation of multiple peers and subordinates is justified by the results of previous studies that used this instrument and reported interclass correlations (ICCs) within each of these sources that ranged from .43 to .70 (Fleenor et al., 1996; Atwater et al., 1998). Third, the resulting three ratings were further aggregated to served as the index of managerial effectiveness (see Tables 1 and 2). Control variable In order to account for the number of available similar others for network composition, the percentage of African-Americans in repondents’ organisations, measured through self-report, was used as a control variable in the regression analyses. Table 1: Means Variable label Race Percentage minority Homophily Density Performance index N 185 185 185 165 182 Mean Std Dev 1.24 0.43 15.37 10.08 48.01 30.93 69.70 21.90 60.20 4.62 290 International Journal of Training and Development Blackwell Publishers Ltd. 2000. Table 2: Correlations 1 1 Race 2 Percentage minority 3 Homophily 4 Density 5 Performance index 2 .14* .81** .23** .11 .07 −.09 .07 3 4 −.01 .00 −.04 Table 3: Mean differences in homophily between African-American and white managers African-Americans Whites 33.77 92.34 19.77 10.59 Mean Standard deviation Results Managers in the samples displayed a tendency for homophily. Organisations from which the sample was drawn included an average of 15 per cent African-Americans in their ranks and the informal networks of African-Americans contained an average of 34 per cent African-Americans (SD = 19.77) (see Table 3). Conversely, organisations were composed of 85 per cent of white managers while their networks were composed of 92 per cent of other whites (SD = 10.59). Thus, it appears that whites and African-Americans do display the tendency of forming informal ties with others of the same race above what would be expected if this process was random. A hierarchical regression model was used to test the second hypothesis. The model included the control variable (i.e., percentage of African-Americans in the organisation), the race of the participant, the performance index, and an interaction term composed of the product of race and the performance index. Homophily was used as the dependent variable. The results are presented in Table 4. A significant interaction between homophily and race was found (b = −1.08, p ⬍ 0.05), lending Table 4: Results of the regression analyses Race b Homophily 0.81** 1.88** Performance Race X performance s.e. b s.e. b s.e. R2 ⌬R2 3.04 40.09 0.06 0.26* 0.28 0.87 −1.08* 0.67 0.689** 0.695** 0.01* Note: *p ⬍ 0.05 ** p ⬍ 0.01 Blackwell Publishers Ltd. 2000. Networking characteristics of African-American managers 291 support to our hypothesis. Results are displayed in Figure 1; they point to different relationships between homophily and managerial effectiveness for African-American and white managers. For African-Americans, the relationship appears to be positive in that high performing managers tend to have more same-race contacts than low performers. For white managers, the relationship is reversed and high performing managers have less same-race contacts. Discussion Research on networks has produced some exciting findings on the experience of minorities in organisations. The literature has demonstrated how individual factors, such as homophily, and organisational characteristics (e.g., paucity of other minorities) influence the networks of minority and majority-group members differently. In this article, we further validate existing knowledge on networking characteristics of African-American managers by using a different criterion and a larger data set. Results are consistent with those of Ibarra (1995). African-American managers have a tendency to make same-race ties within their organisations. This principle, homophily, is a critical one for African-American managers because of organisational demography. The distribution of African-Americans at various hierarchical levels of organisations creates a tension between homophilious tendencies and the desire to access more instrumental networks. Previous literature has identified two approaches to this tension. The first one, the assimilation paradigm, promotes access to instrumental networks at the expense of homophily and its affective benefits while the other, the pluralistic perspective, argues for both the development of homophily and the development of ties with the dominant coalition. Support for the pluralistic perspective was found and African-American managers who were more effective in their work also had a higher proportion of African-Americans in their networks than those who were less effective. The implications of these findings for managers are important because informal networks, contrary to formal organisational structures or policies, are within the control of managers (Kaplan, 1984). These relationships can be initiated or terminated almost at will and minority managers can be strategic in the elaboration of their networks (Friedman et al., 1998). In our opinion, an important benefit of the research on informal network lies in its prescriptive value. Some of these are discussed in the next section. Of course, the main limitation of these results is the cross-sectional design used to investigate a developmental issue. It is not possible to assert with any certainty that specific networks lead to better performance; the reverse may also be true. Design of a training module on networking and implications for organisations In revising the design of a leadership development programme aimed at AfricanAmericans a team of researchers and trainers at CCL introduced some of the above 100 Homophily 80 60 AA 40 White 20 0 lo hi Figure 1: Interaction between performance and race 292 International Journal of Training and Development Blackwell Publishers Ltd. 2000. findings characteristics. As a result of this effort a networking module was created. The two-hour training module was designed to promote managers’ awareness of their own networking patterns and of the implications of these patterns on their organisational and personal lives. The module begins with an introduction to the networking literature as it relates to African-American experience in organisations. During this portion of the module, the concept of homophily and the pluralistic perspective of network development are described to participants. Following the theoretical portion, participants are guided through a networking exercise. Here, participants are asked to create a list of the people with whom they network, and the reasons and frequency with which they network with these people. This activity helps participants to gain an understanding of how they are using their networks. Participants are then asked to engage in a second activity which consists of using grid and coloured pencils to help graphically depict their informal network. This drawing helps participants denote the various hierarchical levels, gender and race of the contacts that compose their network. Additionally, the grid shows how emotionally intimate participants feel towards these individuals. This depiction of networks helps highlight behavioural patterns that participants often find startling. Not until they see it before them do they recognise, for example, that they have very few people at work with whom they have close relationships, or that all of their networking relationships are of one race or another. After reflecting on these patterns, participants are asked to share their grids with others and are encouraged to help each other strategise on ways to strengthen their networks. After, a group discussion on networking techniques ensues. The networking module is consistently rated as one of the most valuable modules of the programme. We recognise that the delivery of a formal training module on networking may not be an option for many organisations. We do feel, however, that our results can be used in other ways. Human resources department can formally encourage and promote the networking of African-Americans. Xerox Corporation, for example, created a series of national networks for their African-Americans and Asian employees (Lesly, 1993). These programmes, also known as affinity groups, are also used by organisations such as R.J. Reynolds and Glaxo-Wellcome. Formal mentorship initiatives can also facilitate links between minority group members. These formal initiatives are relatively inexpensive when considering their potential rewards. On a more informal level, organisations can sensitise employees to the need for homophily through seminars or internal communications. The fact that, on occasions, AfricanAmericans seek out other African-Americans for lunch should be understood for what it is: a basic human need which, it turns out, may also be related to meaningful organisational outcomes. Acknowledgements The authors gratefully acknowledge the support from the Center for Creative Leadership for this research project. We are especially grateful to Drs Cynthia McCauley, Lily Kelly-Radford, and Marian Ruderman for their continuous encouragement throughout the project. 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