By Michael Astle, Market Manager, CXO Relevancy Group, Cisco
Collaboration is more than a buzzword today. It has gained the status as a business priority and strategy in many organizations.
An April 2007 study "Collaboration: Transforming the Way Business Works" conducted by the Economist Intelligence Unit (EIU) with Cisco sponsorship revealed that:
- 99 percent of executives worldwide say they collaborate.
- When asked how effectively they collaborate, almost 80 percent said they didn't know because they had never tried to measure outcomes.
Employees who are expected to collaborate reported that without clear direction, process, and incentives from their business leaders, collaboration initiatives often fail and, in fact, they encourage other employees to "go it alone" rather than collaborate.
The Trust Contradiction
The first problem is in defining "collaboration." A March 2008 EIU study, "The Role of Trust in Business Collaborations," showed that while most executives value integrity first and foremost, trust is a rare ingredient in successful collaboration. In fact, unless there is malicious intent, most business leaders would not end a joint initiative that requires collaboration even in the face of a breach in trust.
The reason for this contradiction is not about the importance of trust, but the definition of "collaboration." When people are asked whether they collaborate, the scenario that comes to mind is different for every individual. One person may recall asking a paint shop owner what colors would go well in his living room. Another person may remember brainstorming ideas with her business partner for a new marketing campaign. The role of trust varies in these different scenarios.
Three Levels of Interaction
In its December 2008 study "Designing Effective Collaboration," the EIU identified three levels of interaction, all of which many people call collaboration:
- Coordination: A basic level where people work together to complete predefined tasks. For example, two coworkers are each creating a specific section of a company report. There is little need for trust or information sharing, as long as they meet deadlines.
- Cooperation: Two or more parties work together to achieve a definitive goal. For example, a manufacturer and marketing consultancy work together to roll out a new music player. They must trust each other's competence and share the common goal of the product's success. But they likely won't share intellectual property beyond what is necessary to reach their goal.
- Collaboration: At this level two or more parties share a level of trust that enables them to freely exchange ideas and knowledge. They also have common goals, follow processes that enable communication, and use tools to reinforce their trust and provide transparency. For example, two pharmaceutical companies come together to develop a new drug to combat Alzheimer's disease. Each brings its own product expertise and knowledge of the market, and shares freely, knowing the other party is also contributing, seeking the same goals, and benefiting equally from the outcomes.
Tips for Strategy
To ensure successful collaborations, executives must develop a collaboration strategy. The EIU recommends the following steps:
- Clearly identify the value. Team members must understand the value they are expected to deliver, whether it's increasing revenue or moving the business into a new market.
- Link to the organizations' strategies. Collaborations that are closely enmeshed with corporate strategy will deliver the needed value. For example, to ensure high customer satisfaction, Cisco created a collaborative environment between various experts throughout the company and customer account teams in an initiative called Specialist Optimization Access and Results (SOAR).
- Select team players who are engaging, creative, and expert. Almost 70 percent of the executives surveyed in the EIU "Designing Effective Collaboration" study stated that creativity is essential in each team member. They also said that each member must be personally excited and optimistic about the project and bring a unique expertise.
- Build trust among coworkers. More important than employees trusting their managers is coworkers trusting each other. Although people who cooperate and coordinate say mutual trust is important, they are the same people who are working successfully without trust. For collaborators, on the other hand, lack of trust is a deal breaker.
- Define or modify processes. Collaborators require flexibility and may follow processes that are unique to their role in the collaboration. Each team member should have a specific responsibility and the opportunity to clarify objectives, and the team needs a clear timeline.
- Employ technology that is flexible and secure. Collaborators need tools to communicate securely and flexibly. Virtual interactions such as TelePresence can be just as effective as face-to-face meetings when they replicate the in-person experience.
Not every interaction is collaborative, nor does it need to be. But when two or more people or organizations come together to create new value, they need to work in an environment where they can share ideas freely and benefit mutually. This requires a level of collaboration not common today — one with clear, business-linked strategies and processes; creative, expert participants who trust each other; and the tools to collaborate easily from wherever they are.