Search Captions & Ask AI

The Value of Schmoozing

October 22, 2014 / 10:49

This episode discusses enterprise social media, its impact on work outcomes, and the significance of social communication. Key topics include the correlation between information diversity and billable revenue, and the surprising influence of social communication on job security during the 2009 recession.

The guest explains that enterprise social media adoption has increased significantly, with a McKinsey report indicating that usage rose from 28 percent in 2009 to 53 percent in 2012. The research focuses on how social media affects performance, collaboration, and the likelihood of being laid off.

Information diversity is linked to higher billable revenue, while social communication, characterized by casual interactions, is a strong predictor of job security. The guest notes that social communication can sometimes outweigh objective performance measures in determining layoffs.

Additionally, the guest reflects on Marissa Mayer's decision to require employees to work in the office, suggesting that social communication may enhance workplace relationships and productivity. The discussion emphasizes the importance of understanding the implications of adopting enterprise social media.

The episode concludes with insights on the potential digital divide created by social media, where those lacking social capital may struggle to connect, highlighting the need for firms to consider these dynamics before implementing new technologies.

TLDR

Enterprise social media impacts work outcomes, with social communication influencing job security more than performance metrics during layoffs.

Episode

10:49
00:00:05
so what i study is to understand how enterprise social media affect various type of work outcomes
00:00:11
the way the reason i'm studying enterprise social media is that there's actually been uptick in adoption
00:00:16
in recent years i think in 2009 mckinsey report came out only 28 percent of firms
00:00:21
has used some type of social networking tools but by 2012 that has gone up to 53 percent so we are
00:00:29
familiar with consumer-facing social media such as twitter facebook there are lots of
00:00:34
studies lots of startups or industry activities around this consumer-facing social media
00:00:39
but how enterprise social media affects performance affect firms affected employees effect collaborations
00:00:45
hasn't been examined and that's what i'm trying to do to understand how enterprise social media
00:00:50
enables network formation enables information acquisition and how these intermediate benefits
00:00:56
ultimately affect various work outcomes such as your billable revenue or your probability being laid off next
00:01:01
cycle so information diversity and social communication are two factors i'm looking at in this research
00:01:12
and i found that both have an impact on your work outcomes just affect them differently for example
00:01:17
information diversity measures how much information or how or how diverse your information is and i'm measuring
00:01:24
this through in machine learning techniques looking at your email chats and calendar
00:01:28
events basically all your electronic communications and we found that information diversity
00:01:34
is strongly correlated with your billable revenue and the more information you have the
00:01:39
more likely you're you're you're able to build it makes sense in a sense like the more
00:01:42
influence you have you're a better worker and you're better able to solve your client's problem
00:01:47
interestingly we found that a particular topic called social communication does not have a direct impact on your
00:01:53
billable revenue but has a tremendous impact on whether you get whether you got laid off
00:01:58
in the 2009 recession when you have social commission have the words such as coffee lunch dinner football baseball
00:02:06
these social words the more words you have in your communication the less likely
00:02:12
they are to be laid off and in fact that's the most significant predictor above and beyond your objective
00:02:17
performance measures in predicting whether you're laid off i think the social communication one is
00:02:26
surprising because i thought i i deliberately picked industry where you can measure
00:02:32
your value to the firm very clearly like in the end you know how much you bring how much money you bring to the firm
00:02:38
should be the ultimate value i would thought all the other stuff should have maybe have a bit of
00:02:44
predictive power but in fact that what i found is that social communication has bigger power than your objective
00:02:51
performance in predicting what they got laid off in the 2009 recession i think that's that was really
00:02:56
surprising to me but i'm not saying that people should necessarily just stop working and show
00:03:01
their community should communicate all the time but i'm surprised i'm thinking that
00:03:05
there's a perhaps there's some kind of intention intended value that people should
00:03:09
communicate can provide that we don't see perhaps this person is a really good team player i just really
00:03:15
enjoy working with this person maybe that makes him maybe he did not build directly
00:03:20
but he enabled his co-workers or his colleagues to do better job perhaps that's one reason or you can
00:03:27
think of the traditional and old boys club where you know people who are tend to
00:03:32
schmooze a lot get better but you know i don't know which one's which but uh you know but that's really
00:03:36
surprising to me i guess importantly well obviously you want to do a good job you know getting lots of information on
00:03:47
time is very important and your social network plays a really key role in helping you get the
00:03:53
information and the stuff by social networks also helps you to you know i guess smooth the relationship around
00:04:00
you perhaps you shouldn't just you know be the dilbert in the office always just work and code and do what do
00:04:06
we need to do it actually pays perhaps to you know get to know your co-workers to understand
00:04:11
what's going on at workforce and those kind of intangible benefits through social
00:04:16
communication can be very valuable to workers and for managers you know again maybe you maybe as i think whether
00:04:25
social communication is a positive negative in your workforce i think manager has a
00:04:29
particularly uh better ins a particular better insight than anyone else maybe social communication is really a
00:04:35
lubricant makes the team collaboration better then you should you should foster that but if social communication really
00:04:43
is about political backstabbing or boys club maybe you should you know try to stem that from
00:04:48
happening i think it's becoming aware that social media in particular enterprise social media
00:04:57
can have productivity effect is very important and in particular what was important as firms started
00:05:04
adopting enterprise social media at that workplace i think before you before anyone is
00:05:10
starting to do that i think it's really important to understand potential implications
00:05:14
for our workforce what is the mechanisms going on what enables your workers or employees to do
00:05:20
better job and before knowing that's what's happening you may actually experience
00:05:24
some unexpected consequences of adopting center by social media so although i'm studying consultants but
00:05:34
i think this type of work can generally applicable to all kinds of information workers
00:05:39
including lawyers consultants scientists any kind of information related worker would be you know
00:05:46
we find this research very valuable but i think as enterprise social media is becoming more prominent
00:05:51
any firms are trying to adopt this type of technology will find this very interesting as well
00:06:00
i think the closest one perhaps marissa meyer's decision to ask all the workers to show up instead
00:06:06
of working remotely i think a lot of people there's a lot of backlash against that particular
00:06:11
policy especially for working moms i'm actually i'm working on myself and but i actually
00:06:17
think there's some merits in that as well but for the workers if you think social
00:06:22
communication is really going to be such an important predictor in your career outcomes or
00:06:27
career trajectories perhaps it pays to show up and to lubricate this social communication around you and to
00:06:34
understand each other to understand your colleagues who know what's going on
00:06:37
because a lot of information or especially intangible information are passed down
00:06:41
through water cooler conversations and with that but if you're working at home
00:06:46
all the time without having that access perhaps you actually you're actually
00:06:50
doing your own you know you're actually worse off as a result if you're kept
00:06:55
doing that so i think marissa has a point but whether we should enforce 100 percent i think it
00:07:01
depends on the setting depends on the firm was it was what was needed and uh perhaps marisa made it the right
00:07:07
decision i don't know it means actually yahoo well i guess it depends on the person
00:07:17
again right this perception again depends on who you're talking to perhaps for a consultant this may be may
00:07:23
not be as surprising i don't know but for someone you know for like me or anybody who's in the
00:07:29
in the industry at least in america we think of meritocracy right we think that meritocracy is
00:07:35
ultimately what gets us you know promoted we got we were rewarded for you know for doing our job well but the fact that
00:07:43
we the fact this is this research i've shown that social communication matters it's interesting
00:07:48
takeaway in the sense that not only should you do your job well but you also have you also should worry
00:07:53
about some other intangible communication or other stuff you have to do at work it makes us more
00:07:59
likely that you will be do you'll be you know keeping your job getting promoted or
00:08:03
improve your career outcomes i think enterprise social media in general hasn't been studied much
00:08:14
we see a lot of again facebook and twitter social media that's consumer facing
00:08:19
and what's unique about this research is that i have the real social network of employees
00:08:26
because if you think about your communication electronic communication channels including your
00:08:31
calendar events that capture some of the meetings facebook facebook basically encounters these are all real
00:08:37
communication that your real network at work and to capture that precisely to understand the intermediate outcome
00:08:46
that networks can produce is something that hasn't been done before so i'm actually in the process of
00:08:56
finishing another project related to this and where we found a emergence of a network biased technical change
00:09:03
in instance as a social media is being adopted at work we actually see a you know digital
00:09:08
divide among workers so you think that perhaps social media enable people to find
00:09:14
each other more easily and may therefore we raise some of the barriers that we have in
00:09:19
connecting to other people at work and perhaps the dilbert of the world would be better off
00:09:24
because now he has to use social media to find the people he needs to find but in fact what i found is actually a
00:09:29
little disco disconcerting the sense that dilbert are becoming worse off as social
00:09:33
media becomes more available if you think about it if you were making connection you need to find a person you
00:09:40
wanted to connect but you also need to persuade that person to become connected to you
00:09:45
so as a search cost have become erased because of social media this conversion cost of
00:09:51
you know making the person become your friends is even becoming more prominent as a result if you have a lot of
00:09:57
political i mean social capital before you are even better off because you have the power to make that person
00:10:03
be connected to you whereas if you don't have that power even you found the person you defined
00:10:08
they may not choose to connect with you and then you're actually worse off so in a sense we actually do see a rich
00:10:13
get richer and poorer get poorer phenomenon with enterprise social media and i think that's again some unexpected
00:10:19
consequences that firms should should try to understand before they adopt these type
00:10:24
of technologies you

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Episode Highlights

  • Impact of Social Communication
    Social communication significantly predicts whether employees are laid off, more than performance metrics.
    “Social communication has a bigger power than your objective performance.”
    @ 02m 46s
    October 22, 2014
  • The Importance of Networking
    Understanding social networks can enhance career outcomes and job security.
    “It pays to know your co-workers and understand what's going on.”
    @ 04m 09s
    October 22, 2014
  • Unexpected Consequences of Social Media
    Adopting enterprise social media can lead to a digital divide among workers.
    “The rich get richer and the poor get poorer with enterprise social media.”
    @ 10m 15s
    October 22, 2014

Episode Quotes

  • Social communication has a bigger power than your objective performance.
    The Value of Schmoozing
  • It pays to know your co-workers and understand what's going on.
    The Value of Schmoozing
  • The rich get richer and the poor get poorer with enterprise social media.
    The Value of Schmoozing

Key Moments

  • Social Media Adoption00:14
  • Work Outcomes00:57
  • Unexpected Findings02:56
  • Digital Divide09:10

Tension Over Time

Words per Minute Over Time

Vibes Breakdown