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Managerial Networks Clusters Ali Anani, PhD Knowlede Familiarity Skills Familiarity Frequency of Receiving Information Time Saving from Consultation Effect on Enthusiasm -50.00% 0.00% 50.00% Clusters profiles Cluster 1 Cluster 2 Cluster 3 Cluster 4

Managerial Network Clusters

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Managers interact in different ways. This presentation is extracted from a real case study in which different managerial-impacting factors are analyzed. Performing risk-type analysis reshuffles the performance clusters and the results point to areas that warrant attention

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Page 1: Managerial Network Clusters

Managerial Networks ClustersAli Anani, PhD

Knowlede Familiarity

Skills Familiarity

Frequency of Receiving InformationTime Saving from Consultation

Effect on Enthusiasm

-50.00%

0.00%

50.00%

Clusters profiles Cluster 1 Cluster 2 Cluster 3 Cluster 4

Page 2: Managerial Network Clusters

Workers interact- These are actions that generate different outcomes.

The boundaries of an organizational network are usually very well-defined by its organizational structure.

Employees may engage in a myriad of different interactions. Patti Anklam published several interesting ideas on this subject

Interactions among Workers

Page 3: Managerial Network Clusters

Information exchange- the more people know and trust each other the more they exchange information

Awareness of what people know- the more people are aware of what co-workers know, the more likely they will exchange information

Types of Information Exchange and Their Determinants

Page 4: Managerial Network Clusters

Knowledge Seeking- People seek information from knowledgeable people to solve problems if no barriers exist. Barriers limit the free flow of consultation on issues related to problem-solving and decision-making

Motivational Energy- Knowledgeable staff may affect people positively or negatively. People tend to consult experts who motivate them while avoiding people who are de-motivating (Unless they have no option but to consult with them)

Types of Information Exchange and Their Determinants- 2

Page 5: Managerial Network Clusters

A sample of twenty one managers was taken randomly for a middle-sized company

Face to face interviews and written surveys produced the results shown in the next table

The dimensions taken are the same as discussed in the preceding slides

A Case Study

Page 6: Managerial Network Clusters

Survey ResultsInformation

Decision Making

Value Creation Energy

Employee No

Knowledge Familiarity

Skills Familiarity

Frequency of Receiving Information

Decision Consulting Frequency

Time Saving from Consultation

Effect on Enthusiasm

1 8 9 5 6 5 52 5 6 4 5 6 43 6 7 6 7 4 64 5 5 3 4 3 75 2 3 6 4 7 66 9 9 6 6 7 47 5 4 3 5 8 78 5 7 4 7 5 49 3 3 6 8 5 6

10 4 6 4 3 6 611 8 5 3 6 4 512 6 6 6 4 4 413 5 5 7 3 6 714 8 9 5 7 8 815 8 6 5 8 4 616 7 8 3 4 6 817 8 5 4 4 7 718 8 8 3 6 4 519 5 5 5 4 6 420 4 5 5 7 7 521 6 9 5 8 4 6

Page 7: Managerial Network Clusters

NeuroXL Classifier from was used to analyze the results as explained in an earlier publication by the author

The first analysis was designed to produce two clusters. (See next slide)

Analysis Methodology

Page 8: Managerial Network Clusters

The Two Clusters

-25.00%-20.00%-15.00%-10.00%

-5.00%0.00%5.00%

10.00%15.00%20.00%25.00%Clusters profiles Cluster 1 Cluster 2

Page 9: Managerial Network Clusters

The previous slide shows two clearly differentiated clusters.

The meeting point between the two clusters is the frequency of receiving information; otherwise the two clusters diverge

The Two Clusters- 2

Cluster 1 weight (%) Cluster 2 weight (%)

45.00%

46.00%

47.00%

48.00%

49.00%

50.00%

51.00%

52.00%

53.00%

47.62%

52.38%Clusters weights

Page 10: Managerial Network Clusters

In Cluster 1, managers are familiar with who has information and the skills to consult with. However; peer managers are hesitant to seek their advise because these managers do not either motivate their peers or save them time. This realization apparently led to the low frequency of information exchange

The Two Clusters- 3

Page 11: Managerial Network Clusters

Cluster 2 compromises managers whose common profile is being low in the familiarity of the knowledge and skills of their peers and are not seekers of opinion to make decision. However; they benefit from the time savings they get from their peers and of the enthusiasm they get from these activities

The Two Clusters- 4

Page 12: Managerial Network Clusters

The Two Clusters- 5

The Cluster Radar

The previous clusters are redrawn in a radar graph

Knowlede Familiarity

Skills Familiarity

Frequency of Receiving Information

Decision Consulting Frequency

Time Saving from Consultation

Effect on Enthusiasm

-50.00%

0.00%

50.00%

Clusters profiles Cluster 1 Cluster 2

Page 13: Managerial Network Clusters

The segmentation of managers into three clusters produced the following clusters with cluster 1 having the highest weight

Three Managerial Clusters

Cluster 1 weight (%)

Cluster 2 weight (%)

Cluster 3 weight (%)

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%52.38%

14.29%

33.33%

Clusters weights

Page 14: Managerial Network Clusters

The line graph is as shown below. Cluster 2 (14.29% by weight) scores lowly in both dimensions pertaining to other managers being either familiar with their knowledge or skills. The culture and communication levels are low indeed.

Three Managerial Clusters- 2

Knowle

de Fam

iliar

ity

Skill

s Fam

iliar

ity

Freq

uenc

y of

Rec

eivi

ng In

form

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n

Decisio

n Con

sulti

ng Fre

quen

cy

Tim

e Sa

ving

from

Con

sulta

tion

Effec

t on

Enth

usia

sm

-40.00%

-30.00%

-20.00%

-10.00%

0.00%

10.00%

20.00%

30.00%

40.00%Clusters profiles Cluster 1 Cluster 2 Cluster 3

Page 15: Managerial Network Clusters

It was decided to take out the dimension of frequency of decision consulting to see the outcome. The resulting clusters had the following weights. A more balanced cluster weights resulted than the original case

Three Managerial Clusters- 3

Cluster 1 weight (%)

Cluster 2 weight (%)

Cluster 3 weight (%)

0.00%

10.00%

20.00%

30.00%

40.00%

28.57%33.33%

38.10%Clusters weights

Page 16: Managerial Network Clusters

This time cluster 3 realized time savings from consultation after removal of the decision consultancy dimension . Apparently, the benefits are lost because of indecisiveness. However; the issue of time value is critical in both clusters 1 and 2 as time savings from consultation show negative values

Three Managerial Clusters- 3

-30.00%

-10.00%

10.00%

30.00%Clusters profiles Cluster 1 Cluster 2

Page 17: Managerial Network Clusters

This time cluster 3 realized time savings from consultation. Apparently, the benefits are lost because of indecisiveness. However; the issue of time value is critical in both clusters 1 and 2 as time savings from consultation show negative values

Three Managerial Clusters- 4

-30.00%

-20.00%

-10.00%

0.00%

10.00%

20.00%

30.00%Clusters profiles Cluster 1 Cluster 2 Cluster 3

Page 18: Managerial Network Clusters

The impact of time savings resulting from consultation prompted repeating the cluster analysis without this factor. The weights of the three clusters emerged as follows. Interestingly, the same weights for leaving decision data, but are reshuffled

Three Managerial Clusters- 5

Cluster 1 weight (%) Cluster 2 weight (%) Cluster 3 weight (%)

0.00%

10.00%

20.00%

30.00%

40.00% 38.10%

28.57%33.33%

Clusters weights without time savings value

Cluster 1 weight (%) Cluster 2 weight (%) Cluster 3 weight (%)

0.00%

10.00%

20.00%

30.00%

40.00%

28.57%33.33%

38.10%Without decision making dimension

Page 19: Managerial Network Clusters

Cluster 1 shows radical performance difference than both cluster 2 and, to a lesser extent, cluster 3

Three Managerial Clusters- 5

Knowle

de Fam

iliar

ity

Skill

s Fam

iliar

ity

Freq

uenc

y of

Rec

eivi

ng In

form

atio

n

Decisio

n Con

sulti

ng Fre

quen

cy

Effec

t on

Enth

usia

sm

-40.00%

-30.00%

-20.00%

-10.00%

0.00%

10.00%

20.00%

30.00%

40.00%

Clusters profiles without Time Savings ValueCluster 1 Cluster 2 Cluster 3

Page 20: Managerial Network Clusters

The managers were divided into four clusters to form four quadrants.

Four Clusters

Cluster 1 weight (%)

Cluster 2 weight (%)

Cluster 3 weight (%)

Cluster 4 weight (%)

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

40.00%

45.00%

33.33%

14.29% 14.29%

38.10%

Clusters weights

Page 21: Managerial Network Clusters

The managers were divided into four clusters to form four quadrants. The clusters show four different type of managers. Clusters 1 and 3 are the least beneficial from time savings

Four Clusters

Knowle

de Fam

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Skill

s Fam

iliar

ity

Freq

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Rec

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form

atio

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Decisio

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sulti

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quen

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Tim

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from

Con

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Effec

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Enth

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-40.00%

-30.00%

-20.00%

-10.00%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%Clusters profilesCluster 1 Cluster 2 Cluster 3 Cluster 4

Page 22: Managerial Network Clusters

The value of cluster risk analysis becomes evident if we take one dimension out. In this example the decision consulting frequency was left out. The results are shown in this slide and the next one

Four Clusters

Cluster 1 weight (%)

Cluster 2 weight (%)

Cluster 3 weight (%)

Cluster 4 weight (%)

0.00%

20.00%

40.00%28.57%

23.81%28.57%

19.05%

Clusters weights

Page 23: Managerial Network Clusters

The problem areas of each cluster may be identified. Satisfying or leaving out one factor leads to reshuffling of the weights of new clusters

Four Clusters

Knowle

de Fam

iliar

ity

Skill

s Fam

iliar

ity

Freq

uenc

y of

Rec

eivi

ng In

form

atio

n

Tim

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ving

from

Con

sulta

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Effec

t on

Enth

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-50.00%

-40.00%

-30.00%

-20.00%

-10.00%

0.00%

10.00%

20.00%

30.00%

40.00%

Clusters profiles without Decision ConsultationCluster 1 Cluster 2 Cluster 3 Cluster 4