Principles of
Management
Mason Carpenter, Talya Bauer, and Berrin Erdogan
Chapter 9
© 2010 Jupiterimages Corporation
Social Networks
 Understand the social
network vocabulary
 Know why social networks
and networking are valuable
 Learn the history of social
networks
 Know some of the ethical
considerations related to
social network analysis
 Understand the difference
between personal,
operational, and strategic
social networks
 Map your own social
network and understand its
implications
What is a social network?
Social networks are the
_________ structure of
_________ among
_________
MySpace, Facebook,
and LinkedIn are
computer-based ______
_________
Social networks can
be considered
“the _________
organization” –
they are the ________
through which
communication and
resources ______ and
how work actually
gets ______
Social Networks as an
Organizing Tool in P-O-L-C
Sociogram: A Simple Social Network
Individual (actor)
What Are Actors?
Individuals
SupraOrganizations
Actors are
information/
knowledge
processing
entities
Organizations
Groups
A social network can be characterized as a patterned
set of relationships between two or more people
Social
Networks
offer
Social
Capital
•
•
•
•
Ideas
Information
Money
Trust
Social capital is
based on
relationships
No single actor can
claim ownership
A Social Network Based on Information Ties
Social Network Analysis
The mapping
and measuring
of relationships
and flows
among people,
groups,
organizations,
computers, web
sites, and other
actors
Network size is the number of actors
Jeffrey Travers
and Stanley
Milgram found
that on average,
there were six links
– or “degrees of
separation” –
between any two
people randomly
drawn from the
U.S. population
Direct
Ties
A single link
spanning
actors
Indirect
Ties
Connections
exist between
actors, but only
through other
actors
Source: http://en.wikipedia.org/wiki/Image:Kevinbacongfdl.PNG
Six Degrees of Separation
Actor Kevin Bacon founded sixdegrees.org
to help charities network and share resources
Centrality and Density
Centrality
Density
Who has the ____ ties
to whom is the unique
_________ between two
other groups
Reflects how many
______ in a _______ are
connected to each other
Directional
Places the ______ in a
position to gather
_________
Bidirectional
Communication
Access
Information
Five types
of social
networks
Knowledge
Problemsolving
Discussion
•
•
•
•
•
•
What is a social network?
What is social network analysis?
Why is network size important?
Why is network centrality important?
Why is network density important?
What are some key types of social
networks?
How can managers use
social networks to create value?
Factors include
the principles of
reciprocity,
exchange, and
similarity
© 2010 Jupiterimages Corporation
Principle of
reciprocity
Principle of
exchange
Principle of
similarity
• The ability to
get things ____
by providing
_____ to others
in _______ for
the ______ they
require
• Quid-pro-quo
• Trading ______
among actors
who are
_______ from
one another
• Network ties
tend to develop
____________
between people
with _______
backgrounds
and interests
Social Networks and Careers
Job seekers are more likely to find a job through
weak ties than through strong ties - Mark Granovetter
Strong ties exist among
individuals who know
each other well and
engage in relatively
frequent, ongoing
resource exchanges
Weak ties exist among
individuals who know
each other, at least by
reputation, but who do
not engage in a regular
exchange of resources
The Value of Weak Ties
Weak tie =
strong bridge
Career
networking
opportunities
are plentiful due
to social
networking
Mark
Zuckerman,
co-founder of
Facebook,
helped to bring
social
networking to
thousands of
individuals
Source: http://commons.wikimedia.org/wiki/Image:Zuckerberg2.jpg
Using LinkedIn to find a Job
Create a profile
Consider a photo
Keywords and
skills
Search jobs
Get
recommendations
Build your
network
Get answers
Get connected
Managing the Innovation Network
2. Set
Set
2.
boundaries
boundaries
and
and
engage
engage
1.Connect
1.Connect
Dynamic and
flexible
4. Manage
Manage
4.
and
and
track
track
3. Support
Support
3.
and
and
govern
govern
Discussion
• What does the social network concept of reciprocity
mean, and what are its pros and cons?
• What does the social network concept of exchange
mean, and what are its pros and cons?
• What does the social network concept of similarity
mean, and what are its pros and cons?
• How do social networks create value in a career
management setting?
• How do social networks create value in an
organizational setting?
• What are some ways that an organization can manage
the social network to be more innovative?
Ethical Considerations with Social Network Analysis
Ethics are not
simply a
matter of the
law, they are a
prescription
for doing good
© 2010 Jupiterimages Corporation
Ethical Implications
Violation of privacy
Psychological harm
Harm to individual standing
Managing the Ethical Issues of SNA
Assess the __________: *Is it illegal? *Is it __________?
__________ the stakeholders and their point of view
Consider the __________: *How do they affect the stakeholders?
How does the ______ make you ____ about yourself? *Public _________ could occur
Make a __________
__________ outcomes
The Ethical Argument in Favor of
Managing Social Networks
“Using social capital means
putting our networks into
action and service for
others.”
“The great paradox is that by
contributing to others, you
are helped in return, often far
in excess of what anyone
would expect or predict.”
Discussion
• What is social network analysis?
• Why should managers be concerned about the
ethical implications of social network analysis?
• What might be some of the unforeseen
consequences of SNA for you as employee?
• How would the privacy of someone be affected
even if they are not directly surveyed as part of
the SNA?
• What steps can you take to improve the ethical
bases for conducting SNA?
• Why might it be unethical for managers to
neglect the organization’s social networks?
Personal, Operational,
and Strategic Networks
Personal
• Kindred spirits outside your
organization who can help you with
personal advancement
Operational
• People you need to accomplish your
assigned, routine tasks
Strategic
• People outside your control who will
enable you to reach key
organizational objectives
Social Networks
serve personal, operational, or strategic purposes
© 2010 Jupiterimages Corporation
Guy Kawasaki’s Guide to
Networking through LinkedIn
Increase your
visibility
Improve your
connectability
Make your
interview go
smoother
Perform blind,
“reverse,” and
company
reference checks
Gauge the health
of a company
Discussion
• What characterizes a personal social network?
• What benefits do members of a personal social
network provide to each other?
• What characterizes an operational social network?
• What is a simple rule of thumb for determining if
someone should be in your operational network?
• What characterizes a strategic social network?
• What two barriers interfere with the development
of strategic networks?
Mapping and Your Own Social Network
© 2010 Jupiterimages Corporation
Map your social network
to understand its structure
STEP 1: What purpose
should the network
serve?
STEP#4: Assess and
take action
STEP 2: Who are your
contacts and what is
your relationship with
them?
STEP 3: Who knows
whom? Computing
network density
Discussion
• How might social network analysis help you find
a new job?
• What are the basis steps in social network
analysis?
• What information do you need to analyze your
social network?
• Why is the size of your network important?
• Why is the density of your network important?
• What can you do to create value through your
social network?