the balancing act of managing virtual working in knowledge-intensive organisations

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The Balancing Act of Managing Virtual Working in Knowledge- Intensive Organisations Lefkada Papacharalambous Brunel University UK Diana Limburg Twente University Netherlands

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The Balancing Act of Managing Virtual Working in Knowledge-Intensive Organisations. Lefkada Papacharalambous Brunel University UK Diana Limburg Twente University Netherlands. Starting point. Knowledge creation is for many organisations crucial in survival, but difficult to manage. - PowerPoint PPT Presentation

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Page 1: The Balancing Act  of Managing  Virtual Working in Knowledge-Intensive Organisations

The Balancing Act of Managing

Virtual Working in Knowledge-Intensive

Organisations

Lefkada PapacharalambousBrunel University UKDiana LimburgTwente University Netherlands

Page 2: The Balancing Act  of Managing  Virtual Working in Knowledge-Intensive Organisations

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Starting point

• Knowledge creation is for many organisations crucial in survival, but difficult to manage.

• Managing a dispersed workforce is difficult/different (see for example previous workshops)

• Question: How can managers deal with the combination of a need for knowledge creation and a dispersed workforce?

• To start with: why would they want to do that in the first place?

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Knowledge-Intensive Organisations

• Surviving in a knowledge-based economy• Key succes-factors:

• Virtual teamwork• Knowledge sharing• Managing the

brainpower

• + Separate arguments for remote working

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(Ishaya & Macoulay 2002, based on Stephen 1998)

Management role in KIOs (1): Creating and maintaining trust

• Building blocks of social trust: – integrity– ability– openness– benevolence– expectations

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Trust processes

• The transparent process– expectations based on past experiences

• The competence process– based on ‘delivering the goods’ and feedback

• Intensive process– identify with each other’s goals, understand and

appreciate each other’s needs

(Ishaya & Macoulay 2002, based on Stephen 1998)

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Management role in KIOs (2): away from the comfort zone

• We know what is needed:• Output & input control, not behavioural control

(e.g. Depickere 1999);

• Inspirational leadership, not subjection to formal organisational structures;

• Trust-based cooperation;• However:

“We have met the enemy, it is us” (McCalman & Paton 2000)

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Management role in KIOs (3): too much, too soon, too little time

• Each separate task does not seem to be too complicated.

• However, managers have much to take into account…

• ... that cannot all be learned and used piecemeal.• Therefore, managers need to change their

underlying mental models...• …to understand and internalise the rationale

behind appropriate actions.

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(Nonaka & Teece 2001, inspired by Kitaro Nishida and Shimizu)

Changing the manager’s mental model: ‘ba’

• Knowledge needs a context, a place to be created.

• ba (‘place’): “… a shared context in cognition and action” =

• Unification of:– physical space– virtual space– mental space

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Practice

• Do managers of KIOs apply aspects of ‘ba’?• What problems do they face?• How is trust managed, is ‘ba’ useful for that?

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Cases: 2 very different KIOsCharacteristic CompuNL MediaMakersEstablishedin:

Mother company: early20th century.

1991

Product/service:

Originally productoriented: development ofthe most advanced hard-and software; since 1993also shifting to IT-relatedservices and solutionprovision.

Media design, including web pages,graphical design, art direction,programming, 3D animation and videoediting.

Size: Large: 3.500-5.000employees (depending onwhether daughters etc.are counted as well)

Small: 30, including interns

Managementstyle:

Originally highlybureaucratic, shiftingtowards flexibility andteamwork

Originally group of enthusiastic,creative, result driven friends, shiftingtowards more professionalism andproject management.

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Compu-NL: Innovating a bureaucracy

• Originally strong bureaucracy, due to market demands shift towards ‘employee mobility’ in broad sense;

• ba: Flexible officing and telework, Intranet, mobile ICT;• Introduction of telework supported change to coaching

management style;• Individualism, priority to client, not team;• Dispersion creates risk of losing sight of

what binds team members ;• Teams asked to discuss their ‘teamness’

and goals.

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Mediamakers: Taming the free spirits

• What the client wants can be done;• Loss of profitability because of spending too much

time on projects, as well as errors caused by mis-communication and lack of record keeping;

• ba: fun office, maybe flex, ICT, Intranet;• Different communication needs;• Managers confused about role;• Project management to get some

order in chaos.

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Conclusions• Virtual teamwork is important for KIO: flexibility.• Managers not only face many things that need to be done,

but also incongrous demands and expectations. • Managers have an ungrateful job: directing (=restricting)

creativity towards sustainable profit.• But simultaneously must avoid output orientation to limit

knowledge sharing and creativity.• Physical and virtual aspects of ba are, in practice, exploited

more than the mental aspect. • The mental aspect of ba is important for trust; • Trust is essential, but difficult to discuss.

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Recommendations

• Freedom and structure must be balanced.• Therefore, new mental models must be acquired by

managers to achieve the necessary new culture of knowledge sharing.

• This includes a complete use of ba: not only physical and virtual, but mental as well (trust!).

• Even though managers are often not knowledge workers as such, they have an essential role to play by leading, and combining creativity into sustainable profitability.

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THANK YOU

Diana Limburg

[email protected]

Lefkada Papacharalambous

[email protected]