Social Networking Tools for Internal Communication in Large Organizations - Coursework Example

Knowledge Management, Social Networks and Innovation AFFILIATION: Introduction The fast pace transformation and advancement in Information Systems around the world has become a challenge for companies in adjusting to trends in the market (Daud and Yusoff, 2010; Stafford and Mearns, 2009). Also, it is more difficult for company’s Research and Development department because attitude of consumers is changing every second. It has become mandatory for firms to mobilise managerial sources, networks and information so that they implement innovative ideas (Baltazis, Ormrod and Grainger, 2008). In order to be highly innovative, firms have two options available and they are in-house and open innovation processes. The latest trend in corporate world is to effectively utilise social media system. This is conducted for creating a learning and knowledge sharing business environment. This will promote innovation within business operations (Grutzmann, Macedo and Zambalde, 2013; Kietzmann et al., 2011). Moreover, robust growth is observed in the in-house innovation processes, which help organisations carry out their operations efficiently. According to Idota et al. (2011), a firm has to focus on developing means of collection, accumulation and integration of information about the customer’s needs along with ideas and technology owned by employees as the integration and sharing of the employees’ ideas and knowledge are vital for innovation. With the expansion of a firm’s size, information about innovation, which is present in every department, has to be shared on a one to one basis (Pirkkalanien and Pawlowski, 2013). Therefore, there is an immense need for an integrated knowledge management system (Johannessen, 2008; Leonardi, 2011). With the advent of time, the companies are now shifting from ICT to social media systems for using them as communication mediums for the Knowledge Management system (Zheng and Zheng, 2010). In recent times, the social media such as SNS (Social Network Service) and blogs are being used by the enterprises for attaining product and service innovation objectives (Okatan, 2012). European Commission (2011) stated that social media is a cluster of Internet-based applications, which are developed on technological and ideological foundations of Web 2.0 Technology. This provides space for conception and exchange of content generated by users (Kane and Alavi, 2007). Hence, it can be stated that social media has grown to become technology’s generic name. This allows individual to send, share and respond to the information and knowledge with each other by making effective use of web and its tools (Pugh and Prusak, 2013). Now-a-days, social media is a tool used by the companies for activating communication among the employees (Tsoukas, 2009), create connections among all sections of the organisation (Ransbotham, Kane and Lurie, 2012) and promote the idea of sharing valuable information so that unique ideas can be created and productivity and innovation of firms can be enhanced (Ellison and Boyd, 2013; Hung et al., 2008). Features of organisational learning In order to promote concept of organisational learning, there are certain pre-requisites which should be implemented by corporations (Davenport and Manville, 2012). This is done for supporting the effectiveness of knowledge management system and innovation. The foremost thing required for fostering a learning environment is to attain top management commitment. Top management should be committed in providing sources required for employing best social media systems. This will allow efficient information sharing and creation of innovative work environment (Alguezaui and Filieri, 2010; Johnson Controls, 2008). Additionally, there is immense need of allowing employees to try new ideas which may either be a success or failure. It is imperative for the company to tolerate the level of risk involved in experimenting with unique ideas and processes (Liebowitz, 2007). Other aspects, for consideration in organisational learning are creation of well-defined structure and framework. This will ensure data and information is shared among employees with ease. Likewise, there is a mandatory need of having low resistance for change. This way company can create a learning, innovative and challenging work environment (Phoosard and Wiriyapinit, 2011). Recently, there is growing demand of social media systems also known as online social technologies which have given companies an opportunity of interacting effectively with internal and external stakeholders (Grutzmann, Macedo and Zambalde, 2013). The most highly utilised tools in social media are social networking sites and social network services (Jerome, 2013; Traudt and Vancil, 2011). Hence, it is imperative for the firms to employ the best social media tools for responding proactively to the demands of the customers. Knowledge Management Knowledge management is widely recognised as the major factor of success for organisations which have been engaged in a range of value added initiatives (Mishra, 2009; Noll, Beecham and Richardson, 2010). Earl and Kimport (2011) and Majchrzak et al. (2013) state this as a concept which deals with dissemination of knowledge within an organisation for continuous process of improvement. On the basis of proposed models, the Knowledge Management comprises of a range of processes mainly classified as socialisation, externalisation, combination and internationalisation (Mu, Peng and Love, 2008; von Krogh, 2012). Moreover, it constitutes four critical processes, required for efficiently managing the information i.e. creation of knowledge, storage and capturing of knowledge, sharing of knowledge and application of knowledge (Viswanathan and Manohar, 2009). (Source: “SECI Model by Nonaka and Takeuchi (1995)”, cited by Phoosard and Wiriyapinnit, 2011) According to Boyd and Ellison (2007), the most widespread types of business networking at inter-organisational levels are technology avenues, business associations and cluster of business, science and study valleys. It has been stated by experts that knowledge is classified into two categories, tacit and explicit knowledge (Warr, 2008). Also, explicit knowledge can be shared and transferred easily as compared to tacit knowledge (Idota et al., 2011). As explicit knowledge is the codified version of knowledge, it has a lot of similarity with the information and acquisition cost of knowledge is reduced to a great extent (Ransbotham, Kane and Lurie, 2012). Additionally, such knowledge is believed to be searchable, transferable, identifiable, storable, reproducible and accessible (Niu, 2010). Hence, the codified knowledge of an organisation can be transferred and incorporated in the company or industry from external sources, if it has implemented an appropriate system for absorbing the new information (Prandelli, Verona and Raccagi, 2006). On the other hand, tacit knowledge is based on an individual’s specific “know-how” and hands-on experience. The tacit knowledge process of transfer is complicated. Nevertheless, tacit knowledge can be transferred into codified knowledge when it is subjected to the process of externalisation (Jucevicius and Kinduris, 2011). Hence, it is mentioned by Nonaka and Takeuchi (1995) that knowledge is created as a continuum of transformation process between codified and tacit knowledge (Kietzmann et al., 2011). According to Kratke (2010), role of knowledge is studied for forming local clusters, which can be extended for creation of innovation capacity within the organisation. Thus, the boundary between codified and tacit knowledge is flexible even if most of the information is tacit (Schneckenberg, 2009). The tacit knowledge is residing in the belief, experiences, value, and other intangible aspects of an organisation such as structures, routines and institutions, and therefore it is difficult to make effective use of tacit knowledge (Barley, Meyerson, and Grodal, 2011). In order to facilitate knowledge sharing, and development for a range of innovations, it is imperative that knowledge interaction takes place. This is possible when different sources are employed in knowledge networks (Daud and Yusoff, 2010). For support of innovation based work environments, it is important for organisations to make effective use of all available options. Currently, the latest system is social media system (Jerome, 2013). Contextual description of social networks Due to the rapid acceleration of mobility and social networking, some of the social boundaries have been erased (IBM Social Business, 2013). As a result, people are using their relationships for discovering and using information for the accomplishment of innumerable range of tasks. Along with the attainment of objectives, an organisation can look for opportunities for innovation, enhanced level of productivity and positive growth with the help of these social network services (IBM Software Group, 2011). IBM initiated the concept of social business to shed light on the social networking tools which can be utilised by the individuals for incorporating the socialisation aspect in their professional lives as well (Traudt and Vancil, 2011). All those organisations which have a strong vision and clarity about their future goals will make sure that they embrace the social software for finding efficient ways of utilisations for igniting growth of the company along with improving the client satisfaction and giving sufficient level of empowerment to the employees (IBM Social Business, 2013). As the social business software is gaining immense momentum in various enterprises, it is expected that this trend will continue in years ahead with a compound growth rate of about 38% till 2014 (Traudt and Vancil, 2011). Recently, it has been highlighted by the industry experts that web has become a mandatory tool for every organisation and industry to perform its business operations with excellence. Even the Social Networking Services are replacing the emails for being used as the main mode of communication for all the business users. The term ‘Social Business’ was developed by IBM to provide the ultimate range of solutions for the corporations so that they can perform their operations with excellence and carry on innovative and learning organisational framework (Traudt and Vancil, 2011). Hence, there has been a drastic shift from the complete focus on the static content to the incorporation of social network technologies. The relationship within the organisation has moved from B2B (business to business) and B2C (business to consumer) to P2P (people to people). It means that it is not only about file sharing amongst employees. It implies that each department from administration to product development, from marketing to sales and to customer service is using the social media like a tool used for doing all aspects of the job. Hence, a company which is employing social network tools smoothly for communicating with people both inside and outside the firm is acting as a Social Business (IBM Social Business, 2013). In order to create successfully Social Businesses, the corporations have to implement a range of systems within its amenities as it is more than having a Twitter account or Facebook page. According to IBM Software Group (2011), the social business is an entity which encompasses and cultivates the spirit of community and collaboration all over the organisation at both internal and external levels. The three paramount features of a Social Business are as follows: 1. Engaged – It connects people deeply which comprises of partners, employees and customers so that they are involved in all processes and procedures. 2. Nimble – It speeds up the business activities by efficiently exchanging information and carrying out in-depth analysis for anticipating and addressing the evolving opportunities. 3. Transparent – It makes sure that the hurdles are removed for assuring that the experts, assets and information are aligned effectively. It will provide support to the people for driving the desired business results. The surging need of Social Network Services has augmented the way in which people are communicating on both professional and social levels. These technologies have revolutionised the interaction patterns which is evident in the form of increasing number of social networking tools to which an individual can subscribe to. Moreover, it is providing a competitive environment in which collaboration and knowledge sharing can take place effectively so that the traditional form of internal divisional and organisational boundaries are transcended along with the physical boundaries of the organisations which are situated in diverse locations (Okatan, 2012). It is found that the positive attitudes towards the perception about the usage of social media systems within the companies can make valuable contribution in the protection and conversion of knowledge along with enhancing the concept of knowledge sharing and learning among the employees. Thus, the knowledge sharing within the organisation can be enhanced by using the social media technologies and have been producing constructive development in terms of improved employee productivity by creating the virtual communities of innovation (Jerome, 2013). Conclusion The organisations have to understand that Knowledge Management system has to be integrated with the social media system along with organisational learning framework so that innovation in culture can be implemented. Also, the deployment of some collaboration techniques does not guarantee success in terms of innovation and effective knowledge management, as it has to be a long-term and strategic initiative for shaping an effective business culture of innovation (Kietzmann et al., 2011). This can be done by making effective use of the social networking tools. It is imperative for the firms to address issues which may be encountered during the creation of such an environment in which top management supports the concept of knowledge sharing and management. The key areas of concern for the company are executive leadership, along with effective organisational strategy which comprises of risk management, financial controls, business processes analysis and leadership development. In order to ensure that innovation is breakthrough and attains the desired market presence, it is imperative that the identified opportunity is employed at the right time (Pirkkalanien and Pawlowski, 2013). 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