What the Impact of Distributed Work on Organisational Networks Tells Us About the Future of Talent Management (an Interview with Michael Arena)
Oct 22, 2024
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Michael Arena, a leader in Organizational Network Analysis and former chief talent officer at General Motors, dives into how hybrid work reshapes organizational networks. He discusses the decline of inter-team connections during the pandemic and the balance required between collaboration and individual productivity. Arena highlights optimal team sizes, the integration of social capital with human capital, and the transformative role of AI in talent management. His insights provide HR leaders with actionable strategies for navigating the future of work.
The shift to distributed work necessitated intentional collaborative strategies to rebuild essential bridging connections across teams and departments.
HR leaders can enhance talent management by utilizing organizational network analysis insights to foster social capital and improve employee engagement.
Deep dives
Evolution of Organizational Networks
Organizational networks have undergone significant changes, particularly prompted by the shift to remote work during the pandemic. While bonding connections within teams remained relatively stable, bridging connections across departments and teams saw a dramatic decline, dropping by approximately 30% month over month initially. This loss negatively impacted collaboration and hindered innovation, as these connections are crucial for exchanging ideas across silos. However, as teams adapted and incorporated new technologies, these bridging connections began to be reforged, illustrating the resilience and dynamism of human interactions in professional settings.
Impact of Remote Work on Innovation
The dynamics of innovation have been affected by the transition to hybrid and remote work models, necessitating intentional strategies for collaboration. Certain stages of the innovation process benefit more from in-person interactions, while focused tasks can be effectively accomplished remotely. The increased velocity of work, driven by technological advancements including AI, has introduced challenges in maintaining productivity and focus during collaborative efforts. This requires leaders to strategically design the workplace experience, balancing the need for focused work with opportunities for spontaneous interactions that spur creativity.
Determining Ideal Team Size
Research into the ideal team size has revealed that effectiveness varies across functions and organizational needs, with optimal sizes typically ranging from six to ten members. Smaller teams tend to enhance engagement and retention, particularly in creative or technical work, while larger teams may be better suited for stability and routine tasks. This research suggests that the appropriate team composition should align with specific goals, such as fostering innovation or maintaining operational efficiency. Organizations must adopt a nuanced approach, recognizing that both small and large teams have distinct advantages based on the context of their work.
Leveraging Network Insight for HR Strategies
HR leaders can leverage insights from organizational network analysis to enhance talent management practices and improve employee engagement. By focusing on social capital alongside human capital, organizations can create more effective strategies for onboarding and retaining talent. Encouraging employees to build strong networks and fostering connectivity among teams can significantly influence career trajectories and overall organizational culture. Practical steps include monitoring engagement levels, identifying key influencers within networks, and providing guidance on building relationships that support both personal and organizational objectives.
How is the shift to hybrid and distributed work reshaping the very fabric of your organisation’s networks? And how you can leverage these changes to build more effective teams and drive business success?
In this episode of the Digital HR Leaders podcast, David Green is joined by Michael Arena, a pioneer in Organisational Network Analysis (ONA), to explore how networks have evolved since the height of the pandemic.
Listen in as they explore:
How organisational networks have evolved in a distributed work environment
Key findings from Michael’s research on optimal team size
How HR leaders can implement network analysis insights to drive strategic action
The role of AI in facilitating ONA and the future of network research
This episode, sponsored by Workday, is essential listening for HR leaders looking to optimise team dynamics and embrace the power of organisational networks to thrive in today’s world of work.
Workday is a leading provider of enterprise cloud applications for HR and finance, recognised as a leader in the Gartner Magic Quadrant for Cloud HCM Suites.
Organisations ranging from medium-sized businesses to more than 50% of the Fortune 500— including Netflix, Sanofi, AstraZeneca, and Rolls Royce—have chosen Workday to build their HR systems and implement Workforce Analytics solutions. Join them and learn more at workday.com