How does online social networking help leaders ... - Wiley Online Library

bs_bs_banner

Asia Pacific Journal of Human Resources (2014) 52, 460–475

doi:10.1111/1744-7941.12041

How does online social networking help leaders communicate? evidence from the Fortune 500 Pawel Korzynski Kozminski University, Poland and Harvard University, USA

Effective organizational leadership and human resource management depend upon efficient communication. However, online social networking is revolutionizing the way this occurs. Contrary to traditional forms of media where communication flows in a linear manner, online social networking (OSN) platforms enable individuals to interact with each other, thereby making communication a two-way process. Networking platforms are dramatically changing the way in which people communicate especially in global organizations that operate in different time zones and countries. This paper explores how OSN influences the internal communication effectiveness of today’s leaders and their reports. A significant stream of research states that communication effectiveness is the foundation of modern organizations.Given that a number of these modern organizations have started to use OSN platforms internally as another channel of communication, it is crucial to identify ways in which today’s leaders can communicate effectively in an online setting and what organizational features can facilitate use of new technology. The study shows the importance of leader adjustment to an online setting. However it also cautions that a supportive culture is needed, and there are instances where OSN cannot replace direct face-to-face communication. Keywords: communication effectiveness, internet, leadership, online social networking, organizational culture Key points 1 Participative and supportive leadership styles on internal OSN platforms, unlike directive styles, are positively associated with the effectiveness of communication. 2 The time that leaders spend on OSN platforms is not a proxy for communication effectiveness. 3 Open organizational culture and code of conduct related to employees’ online behavior are positively associated with higher levels of communication effectiveness.

In recent years the human resources function has evolved to become more closely integrated into strategic management, change management, and other corporate-level activiCorrespondence: Dr Pawel Korzynski, Department of Management, Kozminski University, Warsaw, Poland; e-mail: [email protected] Accepted for publication 17 March 2014. © 2014 Australian Human Resources Institute

Pawel Korzynski

ties (Ananthram and Nankervis 2013; Kramar 2012). As a result it is ceasing to be seen as marginal to the organization and is therefore more strongly dependent on effective corporate communication which, many scholars argue, should be seen as the foundation of modern organizations (D’Aprix 1996; Witherspoon 1997). According to the Towers Watson Communication ROI Study Report, in times of change, companies that keep the lines of communication open are able to engage their employees, retain talent, provide value to clients and provide shareholders with outstanding financial performance (Towers Watson 2009). These companies have the courage to explain the rationale behind difficult business decisions as well as to provide information about organizational culture and values. Moreover, highly effective communicators provide employees with customer feedback and ensure that employees see how they affect the business. Furthermore, these companies educate their employees about organizational performance objectives, culture and values. Finally, they integrate new workers, provide them with information about the true value of their total compensation package and collect their opinions about the company (Towers Watson 2011). Due to the proliferation of communication technologies, organizations are experiencing a transformation in their way of working, especially the speeding up of work activities (Castells 1996; Lash 2002). A number of studies indicate that people are now connected in a variety of ways through many devices and applications that are all making demands on leaders’ and employees’ attention (Wajcman and Rose 2011). It is believed that effective communicators make greater use of internal online social networking so as to reach a diverse workforce in real time. Thus, this paper examines what online activities today’s leaders should undertake so as to be more effective communicators as well as what organizational features can facilitate these activities. The paper also explores how supportive and participating leadership behaviors, such as explaining task directions, coaching and synchronizing decisions, and directive leadership behaviors (such as giving orders), relate to communication effectiveness. Moreover, the study examines how the time which leaders spend on internal platforms affects the effectiveness of information flows. Finally, the paper analyzes how a culture of openness and a code of conduct on online behavior impact communication effectiveness. This study makes a number of contributions. First, it refers to the importance of the adjustment of leadership activities to an online setting. Second, it investigates interdependence of internal online networking and organizational culture which ensures the likelihood of encountering other employees on the platform and the sense of being allowed to communicate. Third, it explores the impact of a code of conduct that guarantees users’ security. Finally, the study analyzes if there are some instances where leaders should approach their reports directly and if, depending on the situation, a mixture of communication channels is needed. The paper is organized as follows. First, studies concerning the impact of leadership and organizational factors on communication in offline and online setting are examined. Second, research methods are described including a survey of 190 leaders in Fortune 500 companies analyzed by means of ordered regression analysis. Third, the findings are © 2014 Australian Human Resources Institute

461

Asia Pacific Journal of Human Resources 52

presented. The paper concludes with a discussion of the results, contributions, implications and limitations of the study. Literature review Leaders’ impact on organizational communication The value of leaders communicating effectively with their subordinates is demonstrated daily in all organizations. Since 1938, when Barnard indicated that communication is the crucial task of managers, information flow has taken an important place in leadership studies (Barnard 1938). Many scholars argue that effective managers spend most of their day engaged in communication (Eccles and Nohria 1991; Kotter 1990; Marrone 2010; Mintzberg 1973). Today’s organizations are challenged with the task of creating effective means of communication that enable fast and credible information flow especially between leaders and employees (Foss and Rodgers 2011). As working in different time zones and locations becomes popular, virtual communication is playing an increasingly important role in organizations (Avolio, Kahai and Dodge 2001; Bell and Kozlowski 2002; Cascio and Shurygailo 2003; Harvey et al. 2013). There is much discussion among scholars about whether leaders should undertake more task-oriented or relationship-oriented actions in a virtual setting (Korzynski 2013; Zimmermann, Wit and Gill 2008). Task- and relationship-oriented behaviors refer to situational leadership theory. An example of situational theory is Fiedler’s contingency model which examines leaders’ effectiveness in a situational contingency. The model described two types of leader: one who puts special efforts into accomplishing the task by developing good relationships with the group (relationship-oriented), and one who tends to carry out the task itself (task-oriented) (Fiedler 1967). Both task and relationship-oriented leaders can be effective if their leadership orientation fits the situation. Another example of situational theory is the path-goal theory presented by House in 1971 and revised in 1996. The first version of the theory argues that a leader’s style (e.g. directive, delegating, supportive, participating) depends on the task and the subordinates’ preferences (House 1971). The second version, which refers to the work environment of an organization (i.e. unknown technology or conflicts), suggests two additional leadership styles: work facilitation (e.g. by planning, co-ordinating the task) and interaction facilitation (e.g. by resolving disputes, emphasizing the importance of the teamwork, encouraging collaboration) (House 1996). As far as virtual environments are concerned, some scholars argue that working at a high level of virtualness increases the importance of task-oriented (or directive and delegating) leadership behavior like defining tasks and roles, setting goals (Bell and Kozlowski 2002; Davis 2004), while others state that relationship-oriented (or supportive and participating) behaviors such as explaining task directions, coaching, sharing and synchronizing decisions are more effective in virtual settings (Ahuja and Galvin 2003; Avolio and Kahai 2003; Feng, Lazar and Preece 2004; Hoch and Kozlowski 2012; Jarvenpaa and Tanriverdi 462

© 2014 Australian Human Resources Institute

Pawel Korzynski

2003). This paper focuses on communication by means of OSN platforms. As it is believed that online social networking is an element of virtual communication that enables twoway interaction, the implementation of a networking platform in an organization should enable leaders to get closer to employees, promote dialogue, expand roles inside the organization and engage employees to become active participants in the communication process (Purvanova and Bono 2009). According to Groysberg and Slind these practices have a positive influence on the effectiveness of the flow of information in the company (Groysberg and Slind 2012). These activities can be described as supportive and participating leadership behaviors. Conversely, directive and delegating leadership behavior is unlikely to assist the effective flow of information. Thus, Hypothesis 1: Supportive and participative leadership behaviors on internal OSN platforms are positively associated with communication effectiveness. Hypothesis 2: Directive and delegating leadership behaviors on internal OSN platforms are not associated with communication effectiveness. Researchers also indicate that OSN platforms should not be viewed as a substitute for face-to-face communication. They emphasize that interactive leaders know when to leave their online setting and talk with their subordinates in a direct, unmediated manner (Groysberg and Slind 2012). There are situations where face-to-face communication is highly recommended, such as when communicating new goals, strategies or bad news (Mazneski and Chudoba 2000; Smith and Sinclair 2003). That is why, although the time that leaders spend on the OSN platforms can build trust and social engagement, it is not expected to be a proxy for communication effectiveness. Some scholars point out that using a mix of communication channels is an effective approach and that leaders need to find the right balance between using online networking tools and other more traditional modes of communication (Weeks and Fayard 2011). Thus, Hypothesis 3: The time that leaders spend on OSN platforms is not associated with communication effectiveness. Organizational characteristics fostering communication effectiveness Casual interactions among employees bring many advantages to organizations. That is why companies try to create conditions to encourage such interactions. Some studies on the importance of adjusting the physical space state that it works only if there is a proper balance between proximity, which is defined as ‘the likelihood of encountering others in a space’ (Weeks and Fayard 2011), privacy, which is related to being able to control who has access to which communication, and permission, which is described as the sense of being allowed to communicate (Fayard and Weeks 2011). This study can be equally applied to interactions on networking platforms. By delivering a code of conduct which provides users with control and security on the platform, companies can enable privacy. If they create an open organizational culture that enables employees to express their opinions and listen to other views, and that facilitates questioning and feedback (Joo and Park 2010), it © 2014 Australian Human Resources Institute

463


is possible to ensure proximity and permission as well. It has been argued that an organizational culture of openness is crucial for a successful online social workplace. As a result of openness, employees become more willing to share and collaborate with each other (Tapscott 2012). INSEAD researchers Huy and Shipilov (2012) indicate that organizations need to build emotional capital and an open culture before implementing online networking tools; otherwise, it is very likely that the OSN platform will not play an important role in communication. Many studies confirm that an open organizational culture provides space for new ideas and technology (Amabile et al. 1996; Davison, Ou and Martinsons 2013; Salmi and Torkkeli 2009). That is why it is expected that an open culture allowing – and even encouraging – employees to share their opinions, is crucial for communication effectiveness. Hence, Hypothesis 4: An open (as opposed to closed) organizational culture and a code of conduct are positively associated with communication effectiveness. Internal versus external OSN platforms There are two types of professional networking platforms: external ones, which are open to everyone who registers (such as LinkedIn and Viadeo), and internal ones, which are dedicated to users working in a particular organization (like Chatter and Yammer). An external OSN platform can serve as a resource for seeking new clients and suppliers, developing new business, looking for industry data and news as well as displaying information about users’ experience, skills and expertise. This last function is very useful for career management purposes. Many job search studies have shown that extraversion and comfort with networking are related to career success (Burt 1992; Forret and Dougherty 2004; Wanberg, Kanfer and Banas 2000). More recently, scholars have also examined the role of external OSN sites in job search (Gerard 2012; Greene 2012; Van Iddekinge et al. 2013). It can be seen on LinkedIn that users interact with other people who might be their potential employers so as to provide them with information about themselves, while also using connections with their current employer to maintain the plausible appearance of not searching for a new job (Piskorski 2009). Thanks to such possibilities on LinkedIn, there are also many recruiters and leaders looking for new talents. Thus, external OSN platforms for professionals seem to bring more advantages in communication with people outside the organization rather than inside. Contrary to external OSN platforms, internal ones are expected to be used as a communication channel among employees within an organization (Leonardi, Huysman and Steinfield 2013). It is believed that many broad business goals, such as better access to expertise, increased knowledge sharing and increased innovation, are served by internal social technologies. As they are dedicated to a closed enterprise community, the security of information flow tends to be higher than on external platforms. Moreover, the percentage of employees with whom leaders are able to communicate is usually greater on internal platforms than on external ones. It was also confirmed by our study that, on average, leaders can reach 47% of employees on closed platforms and 30% on open ones. Hence, 464


Pawel Korzynski

Hypothesis 5: Leadership activities on external platforms are not associated with communication effectiveness. Research methods Sample characteristics The study’s participants held leadership positions in the Fortune 500 list of the largest global companies (Fortune Magazine 2013). The sample consisted of 190 leaders defined as people holding positions as directors, managers or team leaders. Of these 63.7% were male (see Figure 1 which also shows age distribution). Figure 2 shows respondents’ seniority levels and the organizational structure of their company. Data was collected through structured surveys delivered through LinkedIn to randomly selected users. The survey period spanned September to November 2012. Research procedure and measures The following variables were included in the questionnaire: Communication effectiveness: Leaders were asked to evaluate organizational communication in relation to seven different issues (i.e. understanding the business, organizational

32.63%

1.579% 2.632% 21.58% 29.47%

67.37% 44.74%

female

male

21-30 years old 41-50 years old 61-70 years old

31-40 years old 51-60 years old

Figure 1 Respondents by gender and age

11.58% 36.84% 49.47% 38.95%

Team/Project Leader, Manager Board Member, Vise President, CEO

63.16%

Director, Head of Unit

tall or rather tall organizational structure flat or rather organizational structure

Figure 2 Respondents by seniority level and organisational structure © 2014 Australian Human Resources Institute

465


performance, financial objectives, organizational culture and values, integration of new employees, customers, value of compensation, feedback about opinions of the company), similar to to the Towers Watson Communication ROI Study Report (Towers Watson 2011). There were 5 possible answers coded from 1 (‘strongly disagree’) to 5 (‘strongly agree’). The Cronbach alpha coefficient here was 0.79. Time on internal platforms: Leaders were asked to specify how many hours per week, they spend on average on internal networking platforms for business purposes. Time on external platforms: Leaders were asked to specify how many hours per week, they spend on average on external networking platforms for business purposes. Social media training: Respondents were asked if they had participated in any form of social media training organized by their company and the answers were coded as 1 if they had and as 0 if they had not. Number of internal platforms: Respondents were asked about the number of internal online networking platforms that are dedicated solely to their organization (e.g. Yammer, Chatter) and used for business purposes. Number of external platforms: Respondents were asked about the number of external online networking platforms, which are open for any users, like for example LinkedIn and used for business purposes. Code of conduct: Respondents were asked if their organization provided a code of conduct related to the benefits and risks of using internal and external OSN platforms. The answers were coded as 1 if an organization provided a code of conduct or 0 if an organization did not. Percentage of employees on internal platform: Leaders were asked to specify the percentage of employees, with whom they communicate through internal OSN platforms. Percentage of employees on external platform: Leaders were asked to specify the percentage of employees, with whom they communicate through external OSN platforms. Directive activities, delegating activities, supportive activities, participating activities on internal OSN platforms: Leaders were asked to evaluate the frequency of each type of their activities on internal OSN platforms. Answers were coded as 0 if they rarely or never perform an activity or 1 if they perform an activity at least weekly. Directive activities, delegating activities, supportive activities, participating activities on external OSN platforms: Leaders were asked to evaluate the frequency of each type of their activities on external OSN platforms. Answers were coded as 0 if they rarely or never perform an activity or 1 if they perform an activity at least weekly. Organizational culture: Leaders were asked to specify whether the culture of their organization is closed, somewhat closed, somewhat open or open. Answers were coded as 0 for closed and somewhat closed and as 1 for somewhat open and open. 466


Pawel Korzynski

Organizational structure: Leaders were asked to specify whether the structure of their organization is hierarchical (vertical), somewhat hierarchical (vertical), somewhat flat (horizontal) or flat (horizontal). Answers were coded as 0 for hierarchical (vertical) and somewhat hierarchical (vertical), or 1 for somewhat flat (horizontal) and flat (horizontal). Data analysis The statistical package used in this study was STATA. First, descriptive statistics and correlation analysis were applied so as to choose a suitable regression model. Then ordered logistic regression was used in order to find the relative impacts of the study variables on communication effectiveness.

Results Descriptive analysis Table 1 presents the means and standard deviation, and Table 2 shows the correlation coefficients of the study variables. According to Table 2, communication effectiveness is

Table 1

Descriptive statistics

Variables 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22

Communication effectiveness Time on internal platforms Time on external platforms Social media training Number of internal platforms Number of external platforms Code of conduct Employees percentage on internal platforms Employees percentage on external platforms Directive activities on internal platforms Delegating activities on internal platforms Supportive activities on internal platforms Participating activities on internal platforms Directive activities on external platforms Delegating activities on external platforms Supportive activities on external platforms Participating activities on external platforms Organisational culture Organisational structure Gender Seniority level Age


195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195 195

Mean

SD

Min

Max

3.53 2.18 3.81 .50 1.49 2.51 .84 .47 .30 .31 .26 .44 .39 .05 .08 .10 .13 .52 .37 .67 1.61 44.02

.78 2.22 2.49 .50 .92 1.41 .37 .32 .18 .46 .44 .50 .49 .22 .27 .30 .33 .50 .48 .47 .68 8.10

2 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 25

5 9 9 1 3 7 1 1 1 1 1 1 1 1 1 1 1 1 1 1 3 65 467


Table 2

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22

12 13 14 15 16 17 18 19 20 21 22

Spearman correlation coefficients

1

2

3

4

1.0000 .1814* −.0108 .1491* .2048* −.0206 .1537* .1942* −.0581 −.0241 .0743 .2719* .3162* .0000 .0277 .0227 .0140 .3140* −.0433 .0595 −.0178 .0847

1.0000 .2303* .2594* .4270* .1868* .1058 .5849* .1812* .2154* .2186* .3526* .3623* −.0089 .0116 −.0209 .0100 .1752* −.0404 .0334 −.1007 −.0386

1.0000 .1818* 1.0000 .0487 .2883* .3135* .1983* .0618 .0724 .0802 .1801* .3140* .2677* .0177 .1403 −.0141 .2420* .1454* .2433* .0650 .2062* .0234 .1383 −.0145 .2102* .0662 .1335 .0944 .1668* −.0223 .1384 .0197 −.0146 −.1516* .0691 .1177 −.0323 −.0835 .0381

5

6

7

8

9

10

1.0000 .1805* .1489* .3931* .1014 .1569* .1222 .3045* .3115* .0000 .0610 −.0352 −.0035 .1383 .0194 .1075 −.0828 .0259

1.0000 .0283 .2200* .2951* .0730 .0929 .0699 .1314 .0946 −.0095 .0739 .1172 .0265 .0260 −.0387 −.0080 −.1346

1.0000 .0773 .1347 −.0697 .0353 −.0093 .0024 −.1533* −.0850 −.1304 −.0430 .0060 −.0114 −.1247 −.0272 −.1553*

1.0000 .2011* 1.0000 .3182* .0490 .2025* .0704 .4877* .1428* .4423* .1168 −.0312 .0246 −.0465 .0377 −.1052 .0582 −.0514 .1418* .1806* .0854 −.0036 .1406* .0094 −.0149 −.0120 .1240 .0598 −.0834

11

1.0000 .4542* 1.0000 .4032* .4585* .3453* .3858* .2443* .2849* .1788* .2661* .1365 .2219* .1383 .1557* .0242 .1711* −.0648 .0460 −.0702 −.0065 −.0004 −.1738* −.0622 .0163

12

13

14

15

16

17

18

19

20

21

22

1.0000 .6032* .1681* .1700* .1423* .1228 .2071* −.0255 .0050 −.1186 −.0252

1.0000 .1479* .1245 .0764 .1024 .2789* −.0098 .1555* −.0373 .0744

1.0000 .8054* .6877* .6063* .0824 .0123 .1130 .0805 −.0304

1.0000 .7270* .6376* .0830 −.0642 .1198 .0721 −.0391

1.0000 .6288* .0182 −.0519 .0923 .1007 −.0936

1.0000 .0898 .0203 .0394 .1071 −.0747

1.0000 .3567* .0323 −.0096 .0671

1.0000 .0893 .1216 .0007

1.0000 .2122* .0902

1.0000 .0921

1.0000

* Correlation is significant at the 0.05 level.

significantly correlated with the following variables (p ⬍ 0.05): the time leaders spend on internal platforms, social media training, the number of internal platforms, code of conduct, percentage of employees on internal platforms, supportive activities on internal platforms, participating activities on internal platforms and organizational culture. 468


Pawel Korzynski

Table 3

Ordered logistic regression output

Variables

Communication effectiveness 1) Ordered logit

Time on internal platforms Time on external platforms Social media training Number of internal platforms Number of external platforms Code of conduct Employees percentage on internal platforms Employees percentage on external platforms Directive activities on internal platforms Delegating activities on internal platforms Supportive activities on internal platforms Participating activities on internal platforms Directive activities on external platforms Delegating activities on external platforms Supportive activities on external platforms Participating activities on external platforms Organisational culture Organisational structure Gender 2 Position 3 Position Age cut1 Constant cut2 Constant cut3 Constant Observations Prob ⬎ chi2

−.099 (.086) −.009 (.071) .340 (.319) .261 (.183) −.067 (.117) .825* (.420) .848 (.627) −1.685 (.886) −.864* (.384) −.380 (.416) .825* (.409) .816* (.401) −.613 (1.168) −.528 (1.037) .751 (.735) .354 (.625) 1.281*** (.343) −.653 (.334) .109 (.331) −.246 (.325) .752 (.526) .012 (.019)

Communication effeciveness 2) Ordered logit

.784* (.382)

−.847* (.340) .771* (.363) .862* (.367)

1.251*** (.330) −.721* (.320)

−.718 (1.102)

−1.213** (.430)

1.931 (1.112)

1.266** (.428)

5.049*** (1.164) 195 3.25e−06

4.254*** (.530) 195 4.35e−09

*** p ⬍ 0.001, ** p ⬍ 0.01, * p ⬍ 0.05.

Ordered regression analysis with communication effectiveness as the dependent variable From ordered logistic regression analysis with communication effectiveness as the dependent variable (Table 3), we can conclude that the model is statistically significant (p ⬍ 0.001), but no statistical significance was found for independent variables such as time on internal platforms, time on external platforms, social media training, number of © 2014 Australian Human Resources Institute

469


internal platforms, number of external platforms, percentage of employees on internal platforms, percentage of employees on external platforms, delegating activities on internal platforms, directive activities on external platforms, delegating activities on external platforms, supportive activities on external platforms, participating activities on external platforms, gender, seniority level and age. The regression results indicate that communication effectiveness is statistically dependent on the supportive activities on internal platforms and participating activities on internal platforms. Thus, for example, if a leader undertakes such activities on internal platforms, the odds of higher levels of communication increase, given that the other variables are held constant. Therefore, the paper concludes that hypothesis 1, which claims that supportive and participative leadership behavior on internal OSN platforms is positively associated with communication effectiveness, is supported. The study results reject the null hypothesis and conclude that the regression coefficient for directive activities on internal platforms is statistically different from zero in estimating communication effectiveness. However, the coefficient is negative, which means that if a leader undertakes such activities on internal platforms, the odds of higher level communication effectiveness are lower, given that the other variables are held constant. That is why hypothesis 2, stating that directive and delegating leadership behavior on internal OSN platforms is not associated with communication effectiveness, is partially confirmed, because delegating behavior is not related to communication effectiveness and directive behavior is negatively related to the dependent variable. As was stated above, no statistical significance was found for time spent on internal platforms and time on external platforms. Therefore, regression results confirm hypothesis 3 that the time leaders spend on the OSN platforms is not associated with communication effectiveness. Moreover, organizational culture and code of conduct are statistically significant predictors of communication effectiveness. Thus, hypothesis 4, stating that open organizational culture and code of conduct are positively associated with communication effectiveness, is supported. Finally, regression results confirm hypothesis 5 that leadership activities on external OSN platforms are not associated with communication effectiveness. Discussion The purpose of this study is to examine an important factor relating to HR effectiveness namely the role of leaders’ online networking in communication effectiveness. The paper also analyzes the organizational characteristics that can positively influence internal communication. The findings supported almost all of the study’s hypotheses. First, it appears that a culture of openness is a predictor for higher communication effectiveness. This finding is consistent with the fact that internal OSN is playing an increasingly important role in corporate communication and that culture is crucial for successful building social network (Eckenhofer and Ershova 2011). Such openness has 470


Pawel Korzynski

been found to encourage interest across many fields, thereby creating a strong intrinsic motivation to discover and learn (Silvia and Sanders 2010). It also provides the ability to share knowledge, develop discussions, collect opinions and information, and it ensures proximity and permission, both of which are needed for successful implementation of an internal OSN platform as a new communication channel for leaders and their subordinates. If a company implements a code of conduct related to online networking, proximity – which is the third element necessary for effective employee interactions on the internal platform – is enabled. In general, rules and policies do not have many supporters among employees. However, our study shows that the mixture of a basic code of conduct ensuring security on the networking platforms and a culture of openness should have a positive influence on communication effectiveness. Second, it turned out that the amount of time that leaders spend on internal platforms is not a proxy for higher communication effectiveness. Although some scholars claim that online social networks are often slow in developing trust between users (Jarvenpaa and Tanriverdi 2003), and leaders probably need to spend some time on such platforms to build relationships with their subordinates, our study suggests that the number of hours is not associated with communication effectiveness. An explanation for this can be the fact that leaders need to find a balance between online and offline communication. There are cases when leader’s online communication does not bring any solutions to problems, because, for example, a task’s importance or complexity demands face-to-face interaction. Therefore effective leaders should adjust their communication method to the situation. Third, according to our hypothesis, the study shows that a supportive and participative leadership style is positively related to communication effectiveness. These findings indicate that explaining task directives, coaching, facilitating and sharing and synchronizing decisions on internal OSN platforms are effective activities because they tend to build trust, develop good relationships, support engagement in teamwork and encourage subordinates to use the internal OSN platform. Surprisingly, directive activities on an internal platform are not only unrelated to communication effectiveness, but even influence it negatively. This may be the result of the fact that such activities destroy the feeling of support and togetherness that is very important for users of OSN platforms. If a discussion on the OSN platform does not hold the interest or meet the expectations of a user, than it is very easy for him or her to switch and follow another topic. That is why, if leaders want to reach a broader audience online, they must adjust their leadership style, so as to capture the employees’ attention. Finally, the findings confirm that leadership activities on external networking platforms are not associated with communication effectiveness. The world’s largest business external online networking platform with more than 187 million members in over 200 countries is LinkedIn (Bonaldi 2012). Although LinkedIn users are able to create discussion groups that are dedicated only to a particular organization, communication among employees of the same organization is not as common as interactions among individuals working in different companies. That is why, despite the fact that open networking © 2014 Australian Human Resources Institute

471


platforms have garnered much attention from today’s leaders, they are rarely used for everyday internal communication. Practical and social implications As far as practical implications are concerned, there are two main conclusions. First, it is argued that due to the increasing popularity of internal networking platforms in everyday communication, executives need to adopt a leadership style that is appropriate to the new working environment. As the study findings suggest that supportive and participative activities on internal OSN platforms, contrary to directive ones, have a positive impact on communication effectiveness, leaders should try to undertake more such activities. Some theorists argue that it is necessary to adjust leadership behavior to the type of task, the importance of the task or employees’ abilities (House 1996; Vroom and Yetton 1973). If the level or importance of a task requires a more autocratic than democratic leadership style, then it is very likely that OSN will not serve as an effective communication channel. In that case it is recommended that a leader approach employees directly. Online networking cannot serve as a substitute for face-to-face interactions and a mix of communication methods should be taken into consideration. The second implication is related to organizational factors which influence communication effectiveness in a working environment with online networking platforms. The study shows that organizations can support information flow by providing an open culture and code of conduct. The lack of a culture of openness is the reason for many failures in implementing internal OSN platforms (Huy and Shipilov 2012). Thus, if an organization wants to ensure a high adoption rate of the networking platform and freedom to communicate, it is necessary to create an open culture. Moreover, to ensure control and security on the platform, companies should introduce a code of conduct related to online social networking. Pawel Korzynski (PhD, Warsaw School of Economics) is a visiting fellow at Harvard University, and also works as an assistant professor at Kozminski University in Poland, where he teaches courses in leadership, and principles of management. His research interests include human resources management, leadership and online social networks. His recent research on the role of networking in career management and leadership has been published in international journals.

References Ahuja MK and JE Galvin (2003) Socialization in virtual groups. Journal of Management 29, 161–185. Amabile TM, R Conti, H Coon, J Lazenby and M Herron (1996) Assessing the work environment for creativity. Academy of Management Journal 39, 1154–1184. Ananthram S and A Nankervis (2013) Strategic agility and the role of HR as a strategic business partner: An Indian perspective. Asia Pacific Journal of Human Resources 51, 454–470. Avolio BJ and SR Kahai (2003) Adding the ‘e’ to e-leadership: How it may impact your leadership. Organizational Dynamics 31, 325–338. 472


Pawel Korzynski

Avolio BJ, SR Kahai and GE Dodge (2001) E-Leadership: Implications for theory, research, and practices. Leadership Quarterly 11, 615–668. Barnard CI (1938) The functions of the executive. Harvard University Press, Cambridge, MA. Bell BS and SW Kozlowski (2002) A typology of virtual teams: Implications for effective leadership. Group and Organization Management 27, 14–50. Bonaldi T (2012) Social media: Your new #BBF (best business friend). www.nnbw.com/ ArticleRead.aspx?storyID=20659 (accessed 16 Nov 2012). Burt RS (1992) Structural holes: The social structure of competition. Harvard Univeristy Press, Cambridge, MA. Cascio WF and S Shurygailo (2003) E-leadership and virtual teams. Organizational Dynamics 31, 362–376. Castells M (1996) The rise of the network society. Blackwell, Oxford. D’aprix R (1996) Communicating for change: Connecting the workplace with the marketplace. JosseyBass Publishers, San Francisco, CA. Davis DD (2004) The Tao of leadership in virtual teams. Organizational Dynamics 33, 47–62. Davison RM, CXJ Ou and MG Martinsons (2013) Information technology to support informal knowledge sharing. Information Systems Journal 23, 89–109. Eccles RG and N Nohria (1991) Beyond the hype: Rediscovering the essence of management. Harvard Business School Press, Boston, MA. Eckenhofer E and M Ershova (2011) Organizational culture as the driver of dense intraorganizational networks. Journal of Competitiveness 2, 28–42. Fayard A-L and J Weeks (2011) Who moved my cube? Harvard Business Review 89, 103–110. Feng J, J Lazar and J Preece (2004) Empathy and online interpersonal trust: A fragile relationship. Behaviour and Information Technology 23, 97–106. Fiedler FE (1967) A theory of leadership effectiveness. McGraw-Hill, New York. Forret ML and TW Dougherty (2004) Networking behaviors and career outcomes: Differences for men and women? Journal of Organizational Behavior 25, 419–437. Fortune Magazine (2013) Global 500. http://money.cnn.com/magazines/fortune/global500/2013/ full_list/ (accessed 30 Nov 2013). Foss K and W Rodgers (2011) Enhancing information usefulness by line managers’ involvement in cross-unit activities. Organization Studies 32, 683–703. Gerard JG (2012) Linking in with Linkedin®: Three exercises that enhance professional social networking and career building. Journal of Management Education 36, 866–897. Greene K (2012) Social media and the job hunt. Educational Horizons 90, 26–27. Groysberg B and M Slind (2012) Leadership is a conversation: How to improve employee engagement and alignment in today’s flatter, more networked organizations. Harvard Business Review 90, 76–84. Harvey M, R Fisher, R McPhail and M Moeller (2013) Aligning global organizations’ human capital needs and global supply-chain strategies. Asia Pacific Journal of Human Resources 51, 4–21. Hoch JE and SWJ Kozlowski (2012) Leading virtual teams: Hierarchical leadership, structural supports, and shared team leadership. Journal of Applied Psychology. doi: 10.1037/a0030264 House RJ (1971) A path-goal theory of leader effectiveness. Administrative Science Quarterly 16, 321– 339. House RJ (1996) Path-goal theory of leadership: Lessons, legacy, and a reformulated theory. Leadership Quarterly 7, 323–352. © 2014 Australian Human Resources Institute

473


Huy Q and A Shipilov (2012) The key to social media success within organizations. www .sloanreview.mit.edu/article/the-key-to-social-media-success-within-organizations/ (accessed 10 Nov 2012). Jarvenpaa SL and H Tanriverdi (2003) Leading virtual knowledge networks. Organizational Dynamics 31, 403–412. Joo B-KB and S Park (2010) Career satisfaction, organizational commitment, and turnover intention: The effects of goal orientation, organizational learning culture and developmental feedback. Leadership & Organization Development Journal 31, 482–500. Korzynski P (2013) Online social networks and leadership: Implications of a new online working environment for leadership. International Journal of Manpower 34, 975–994. Kotter J (1990) What leaders really do. Harvard Business review 68, 103–111. Kramar R (2012) Trends in Australian human resource management: What next? Asia Pacific Journal of Human Resources 50, 133–150. Lash S (2002) Critique of information. Sage, London. Leonardi PM, M Huysman and C Steinfield (2013) Enterprise social media: Definition, history, and prospects for the study of social technologies in organizations. Journal of Computer-Mediated Communication 19, 1–19. Marrone JA (2010) Team boundary spanning: A multilevel review of past research and proposals for the future. Journal of Management 36, 911–940. Mazneski ML and KM Chudoba (2000) Bridging space over time: Global virtual team dynamics and effectiveness. Organizational Science 11, 473–493. Mintzberg H (1973) The nature of managerial work. Harper & Row, New York. Piskorski MJ (2009) Networks as covers: Evidence from an on-line social network. Working Paper. Purvanova RK and JE Bono (2009) Transformational leadership in context: Face-to-face and virtual teams. Leadership Quarterly 20, 343–357. Salmi P and M Torkkeli (2009) Success factors of interorganisational knowledge transfer: A case of a collaborative public. International Journal of Business Innovation and Research 3, 109–125. Silvia PJ and CE Sanders (2010) Why are smart people curious? Fluid intelligence, openness to experience, and interests. Learning and Individual Differences 20, 242–245. Smith A and A Sinclair (2003) What makes an excellent virtual manager? Roffey Park, Horsham. Tapscott D (2012) How open is your organizational culture in this social world? http://impact99.ca/ how-open-is-your-organizational-culture-in-this-social-world/ (accessed 16 Nov 2012). Towers Watson (2009) 2009/2010 Communication ROI Study Report: Capitalizing on effective communication. www.towerswatson.com/assets/pdf/670/NA-2009-14890.pdf (accessed 30 Nov 2012). Towers Watson (2011) The 2011–2012 Change and Communication ROI Study Report: Clear direction in a complex world. www.towerswatson.com/assets/pdf/5995/Towers-Watson-ROISurvey.pdf (accessed 30 Nov 2012). Van Iddekinge CH, SE Lanivich, PL Roth and E Junco (2013) Social media for selection? Validity and adverse impact potential of a facebook-based assessment. Journal of Management. doi:10.1177/ 0149206313515524 Vroom VH and PW Yetton (1973) Leadership and decision-making. University of Pittsburgh Press, Pittsburgh, PA. Wajcman J and E Rose (2011) Constant connectivity: Rethinking interruptions at work. Organization Studies 32, 941–961. 474


Pawel Korzynski

Wanberg CR, R Kanfer and JT Banas (2000) Predictors and outcomes of networking intensity among unemployed job seekers. Journal of Applied Psychology 85, 491–503. Weeks J and A-L Fayard (2011) Blurring face-to-face and virtual encounters. http://blogs.hbr.org/cs/ 2011/07/blurring_face-to-face_and_virt.html (accessed 10 Dec 2012). Witherspoon P (1997) Communicating leadership: An organizational perspective. Allyn and Bacon, Boston, MA. Zimmermann P, A Wit and R Gill (2008) The relative importance of leadership behaviours in virtual and face-to-face communication settings. Leadership 4, 321–337.


475