Network
Principles in Brief
Networks-the
organizations once considered fringe phenomena-now are moving to center stage.
We have focused
on networks and networking for 15 years, gathering information and insights,
developing theory, testing it through practice, and writing about it-which
provoked more information, theory, practice, and writing. We see five key
organizing principles for the 21st century:
- Unifying
Purpose
Purpose is the glue and the driver. Common views, values, and goals
hold a network together. Shared focus on desired results keeps a network
in synch and on track.
- Independent
Members
Independence is a prerequisite for interdependence. Each member of
the network, whether a person, company, or country, can stand on its own
while benefiting from being part of the whole.
- Voluntary
Links
Just add links. The distinguishing feature of networks is their links,
far more profuse and omni-directional than in other types of organization.
As communication pathways increase, people and groups interact more. As
more relationships develop, trust strengthens, which reduces the cost of
doing business and generates greater opportunities.
- Multiple
Leaders
Fewer bosses, more leaders. Networks are leaderful, not leaderless.
Each person or group in a network has something unique to contribute at
some point in the process. With more than one leader, the network as a whole
has great resiliency.
- Integrated
Levels
Networks are multi-leveled, not flat. Lumpy with small groups and
clustered with coalitions, networks involve both the hierarchy and the "lower-archy,"
which leads them to action rather than simply making recommendations to
others.
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Pattern
Language for Organizing
The word "network"
evokes a clear and simple mental model, a structure of points or circles and
connecting lines-nodes and links, vibrant with activity. People intuitively
use the idea with a remarkable consistency that continues to surprise us.
Where people do get fuzzy is how a network actually does anything coherent.
You already practice
many of the principles. By simply upgrading your informal network knowledge
and translating experience into a concise language, you will enhance your
capabilities immediately. Longer term, if you work with the principles and
they work for you, you will gain the keys to networking with its near universal
applicability.
We began our
search for principles when we started our research in 1979 and it continues
today. Networking (Doubleday, 1982), our first book, included ten principles,
five on structure and five on process. Later, we reduced our set to a barebones
three-members (more generally called nodes), links, and purpose.
More experience, examples, and thinking have led us to the current five.
- Purpose
- Members
- Links
- Leaders
- Levels
This set of patterns
is not sacred, but we have reviewed, tested, and seen them practiced extensively
in every sector-business, non-profit, grass-roots, government, religious,
education-and with all sizes of networks.
Indeed, the great
advantage of such time-worn general principles is their enormous power of
applicability. Principles allow you to take learning from one situation and
transfer it to another. People use principles at every level to design human-scale
networks to meet their needs, while combining into ever larger associations
that reflect the same elements and dynamics.
Start small.
Each stable intermediate level of a network is independent and complex, especially
that of the small group. Networks scale.
No matter how
exalted our role-royalty, board chair, or president, we all live in small
groups. Small groups of people represent the largest of organizations, embody
corporations, and stand for the interests of entire industries. Little organizations
make up big organizations. Everyone comes home at night to a small group,
if only an extended one. Each of us plays many roles at many levels in many
different groups.
What roles do
you play at what levels? Seeing how you fit in to your own picture is the
first step to understanding the networks around you.
Apply the principles
to the group closest to you personally and begin simply. Experiment with your
own small group at work. Hold an informal planning session with a few close
colleagues to try out the new ideas. Try the pocket tool outside of work:
help a local school, church, temple, or community group.
Through experience,
you become a more astute observer of the organizational landscape. You learn
by noticing what's happening in other companies. You recognize common features
in how non-business organizations are coping with the transition from industry
to information. See how others:
- translate
vision into work;
- develop independent
work units;
- establish
rich connections;
- encourage
multiple leaders; and
- involve the
hierarchy.
Suddenly, you
become aware of things you haven't seen before. Like the article in your trade
publication about how a group of companies like yours is talking about forming
an alliance that expands capabilities and enlarges the customer base. Perhaps
you can join, or form the nucleus for a new network.
Social-Technical
Networks
Some organizations
lead the journey into the Age of the Network. Their businesses are natural
networks; their core technology is highly networked.
In the case of
Arthur Andersen & Co., similar to other large professional service businesses,
the partners and associates are naturally spread out across clusters of local
offices. These firms are also leaders in applying information technology to
knowledge work. Likewise, "service webs" spread out in natural networks-such
as Domino's Pizza and other franchises that combine local entrepreneurism
with extensive, distributed information systems. Hyatt Hotels manages a far-flung
network of hotels and owners with an integrated brand, marketing, and management
skills.
From a technology
perspective, process manufacturing, rather than discrete manufacturing, requires
more organic management. The horizontal, networked nature of Eastman Chemical
Company's work figuratively appears in the maze of pipes and tanks-processes
and flows-of their production facilities. Federal Express created a network
to provide a delivery service. AT&T's natural network technology, turned
loose into the marketplace to face the full pace of change, has impelled it
into leadership among the giants in developing new ways of working. "AT&T
is the most incredibly flexible large organization I've ever dealt with,"
says GO's CEO Bill Campbell. "You don't need to go to committees. Somebody
makes a decision, and we move on to the next one."
While some organizations
network more naturally than others, virtually all are incorporating new electronic
technologies.
Technology
of the Information Age
With the invention
of electronic circuits, the ideas of George Boole, Charles Babbage, Ada Lovelace
and others became the seminal technology for the Age of the Network. Chips,
circuits, satellites-the ever-expanding array of electronics-restructures
old markets and opens up whole new ones. Information, computer technologies,
and global markets require networks. Hierarchy alone is too rigid, and bureaucracy
is just too slow.
- New ideas
turn into new technologies.
- New technologies
open up new economies.
- New ideas,
technologies, and economies provoke new organizations.
Information technology
first emerged at the peak of the Industrial Age. Not surprisingly, it looked
appropriately mechanistic and the first few generations of computers were
enormous. Their user interfaces were hideously complex and awesomely expensive,
available to only the largest of institutions. The central computer-with its
professional priesthood who alone understood its arcane mysteries-needed to
shared to be cost effective, so it sprouted dependent appendages, numbingly
similar dumb terminals. The whole system collapsed when the mainframe went
down behind air conditioned glass walls set on raised floors.
Next came the
chip. It leaked from the lab in the 1970s to the marketplace before anyone
really knew what was happening. Instantly, a revolution from below erupted
with hobbyist kits like the Altair, gathered speed with the Apple II, and,
finally exploded with the IBM "personal computer."
Personal computers
completely liberated the information revolution from mainframe domination.
PCs are an agent of personal empowerment at the technological heart of the
age. You and your computer are independent members with autonomous capabilities,
archetype nodes in social/technology networks.
PCs linked into
networks almost immediately. Networks have traveled from a fringe curiosity
to the central architecture of computing in no more than a decade. PCs, linked
into local-area networks (LANs) and wide-area networks (WANs), as well as
directly to the global Internet, reflect the robustness of the network design.
If the broader networks go down, the local clusters still function. If local
nets go down, PCs and other devices continue to function and have capability
to work.
A 1985 publication
by Digital Equipment Corporation, then the world's leader in developing networking
technology, provided this definition, still representative of this techno-genre:
"A
network comprises two or more intelligent devices linked in order to exchange
information and share resources."
Here we see three
essential elements of the Five Teamnet Principles-nodes, links, and purpose.
The nodes are the independent intelligent devices, the members. They are linked
physically to serve purposes, the "in order to" of exchanging information
and sharing resources. Networks come to life for a purpose, the business needs
that specific applications meet.
Technology networks
also reflect the last two of the Five Teamnet Principles. Some nodes in technology
networks serve as leaders, "servers," as they literally are known,
which contain shared information, such as databases, and perform routing functions,
such as delivering electronic mail. Ironically, mainframes now have a renewed
role in computer life, as "servers" rather than "masters."
Technology networks also make use of experts and administrators whose jobs
are to maintain and protect the infrastructure, develop its capabilities,
and resolve conflicts.
Levels appear
throughout computer technology-hardware, software, and wiring schemes alike.
At the user interface, hierarchical menus offer people the means to interact
with a "machine" made of chips constructed from ephemeral Boolean
logic gates-sets-within-sets-within-sets.
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