Robert M Davison: City University of Hong Kong
Carol XJ Ou: Tilburg University
Maris G Martinsons: City University of Hong Kong
Angela Ying Zhao: Sichuan University
Xiaoqing Hua: Renmin University
Rong Du: Xidian University
1

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Web 2.0 is fast becoming ubiquitous
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Socially, it is almost universal
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At work, its presence is growing fast
Through Web 2.0, each of us is “present and accessible to every other person in the world”
(McLuhan, 1964).
However, there is some scepticism

Is Web 2.0 more than a vast chatting application?
2

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Internal Communication
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Knowledge sharing
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Coordination & Collaboration
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Problem Solving
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External Communication
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E-marketing
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PR
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CRM
3

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But detailed investigations/analyses of how corporate Web 2.0 applications generate value are rare, so…
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“How do Chinese professional service firms engage with Web 2.0 technologies in order to create value at work?”
4

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CE is used in media and communication studies to analyse relationships among social groups, interactions, and media.
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Foth and Hearn, 2007
The CEF connects the communication media , people and the social environment (including guanxi ) , as well as the communication content into an ecological system.
5

Guanxi
Culture
Social
Environment
Individuals
Content
Communication Media
Roles &
Identities
6
Created by Louie HM Wong, 2014

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Multiple media are often used
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People find it more convenient to choose from a portfolio of media applications
Different tools can be used in different contexts
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Some people like ‘richer’ tools with video and audio, others are happy with ‘poorer’ tools with only text.
Tools can be used in combination – linearly or sequentially
This is consistent with Media Synchronicity Theory
(Dennis et al., 2008)
7

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A wide variety of Web 2.0 tools are encountered in the workplace
These include (but are not limited to)
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Microblogging – e.g. Twitter, Yammer, Weibo
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Instant Messengers – MSN, QQ, Skype, WangWang,
G-Talk, WeChat, WhatsApp, LINE, etc.
Wikis & other platforms, e.g. RTX
All Web 2.0 applications are characterised by the role of users as content creators
8

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‘Life updates’ among colleagues

Zhao and Rosson, 2009
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Team- task coordination

Riemer et al., 2010
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Enhancing brand awareness

Jansen et al., 2009
9

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IM is often used to compensate for the absence of FTF interaction for immediate questions, clarifications, coordination, scheduling

Avrahami and Hudson, 2006
Use as a complementary communication channel for distributed teams
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Quan-Haase et al., 2005
Concerns about work interruption
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Nardi et al., 2000; Ou et al., 2010
10

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A “collaboratively created and iteratively improved set of web pages” (Wagner 2004)
Corporate KM initiatives
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Wagner, 2004; Wagner & Bolloju, 2005
Work Facilitation and Process Improvement in the
Organisation

Majchrzak et al., 2006
Knowledge Reuse for Organisational Improvement
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Majchrzak et al. forthcoming.
11

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Weibo for Viral Marketing in Vancl

Zhang, 2011
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Exploratory study of commercial potential of 22
Weibo sites
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Li et al., 2011
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IM use, paradoxically, leads to both interruption and enhanced communication quality
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Ou et al. 2010; Chang & Ian, 2012
12

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Fear of misuse, with an excess of chatting
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Nardi et al., 2000
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Low levels of useful content
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Gunther et al., 2009
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Risks of cyber vandalism, queries about quality control, fit with organisational culture
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Stocker and Tochtermann, 2009
13

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Qualitative Case-Based Approach
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Interviews and observation of key personnel at work
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Identify ways in which Web 2.0 applications are used
– and how value is derived
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Identify operational and strategic issues/ problems that may complicate Web 2.0 use
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Identify opportunities for innovation in Web 2.0 use in the Chinese environment
14

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Beijing – Mercury, Beech
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Chengdu – Silver
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Xi’an - Parana
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Nordenflycht, 2010
15

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12,000 employees; US-educated founders
A restrictive IT culture
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Most applications are blocked to most people
Senior people can use anything
MSN & QQ are used for internal communications
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QQ is popular for large file transfer
MSN is used for communication with industry experts, former colleagues, clients, external agencies
16

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Weibo sees extensive use for marketing and external communication purposes
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But most followers are employees!
Mercury is developing a short term strategic plan around Weibo for marketing
In general, Mercury is rather conservative
The corporate IT infrastructure is out of date
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They are not confident that they can fix security loopholes nor support the growing number of employees >> 40,000
17

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9,000 employees; local management
More relaxed attitude towards IT
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Fewer restrictions
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E.g. RenRen and Kaixin are blocked, but others are OK
They have an internally developed wiki that they use for customer support
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After sales service, online updates, e-marketing, discussion forums
The wiki serves as a medium for communication with and between customers
18

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They have also developed an internal IM platform
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So few people use MSN or QQ, excecpt for external communications
The internal platform also functions as a corporate directory
It is mostly used for 1-1 communications, not group discussions
Weibo is not much used except for internal social communication
19

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This is a state-owned software firm, with most work on long-term retainers
Very relaxed IT culture
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Anything is allowed as long as it is work related
There is an internal wiki, but it is little used by programmers
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It is used by HR staff as a repository for formal documents
Weibo is primarily used for social purposes
20

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RTX is the most widely used platform
RTX has IM functions, as well as an internal directory and group chats
It has well developed archiving functions, so as to store conversations
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It acts as a form of corporate memory and enables asynchronous work
RTX facilitates communication between the Chengdu
HQ and all other sales offices
The major limitation is that RTX needs PC/notebook support – not accessible by smart phones (except with wifi)
21

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3,000 employees globally, 250 in China
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Beijing, Shanghai, Xi’an, Chengdu
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Chicago headquartered, operating globally
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Strong corporate ethos to do good
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Quality software
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Sustainable business
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Socioeconomic justice
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Pro-diversity, pro-equality, green IT
22

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Most applications are Google related, though
Skype is used extensively for video conferencing
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Corporate policy is very open
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Any application is OK if it helps
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Weibo is used at corporate and inividual levels, but for thought leadership, not for marketing
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Corporate wikis and blogs are also used to publish information ‘for the good of society’
23

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Ravine is a global hotel management services company, operating over 100 hotels in China
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Ravine blocks all access to Web 2.0 technologies
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“It is not part of Ravine’s corporate culture”
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Yet, many Ravine employees need to use Web
2.0 for their work
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Communication, problem solving, marketing, CRM
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And they do so with bricolage, finding creative solutions
24

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Some employees
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Use mobile devices secretly to access networks reserved for hotel guests
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Persuade their managers to allow them to use private networks, including guest networks
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Some managers equally break the rules – so as to get work done
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Using multiple devices for multiple purposes
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Corporate HQ seems unaware…
25

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VP-IT: “Security is paramount. No hotel has direct connectivity to the
Internet. All hotel communications are routed via a firewall located in corporate headquarters. Further, all Ravine hotels operate standard software, globally. There is zero tolerance for malware and the risks that malware would bring”.
FOM: “I am not allowed to use MSN at work, and my guanxi network has suffered: I have lost some of my contacts. It is harder to work effectively.
Why not trust everyone to be sensible instead of being suspicious of everyone?”.
PRM: “Without QQ I cannot work. I use QQ to contact many external parties, who don’t use other applications. They refuse to use email and it is very hard to get hold of them on the telephone. Therefore I must be able to use QQ”.
MCM: “A one minute task, like sending an email with attachments to corporate clients, can take two to four hours”.
MCM: “My job is to communicate, but there are no tools to accomplish this”
26

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Foth & Hearn (2007) suggest that the multiple layers of the CEF are intricately interwoven.
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We experienced this dynamic interweaving in each of the firms described above.
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Web 2.0 applications cross all four layers and enable a variety of organisational functions
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Most of the communication that takes place is horizontal
27

Guanxi
Culture
Social
Environment
Individuals
Content
Communication Media
Roles &
Identities
Created by Louie HM Wong, 2014

Use of Web 2.0
Media
Organisational
Communication
(Internal and
External; Vertical
& Horizontal)
External Factors:
•Managerial Support
•Client Preference
Communication
Outcomes
29

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Vertical communication – across levels in a hierarchy – is common in many organisations, with instructions and directives ‘from above’ being disseminated downwards.
We found relatively little evidence of vertical communication – perhaps because most of the firms we studied exhibit more relaxed managerial control systems
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Some Web 2.0 liberated managers use IMs, wikis, blogs, but email is more common.
Weibo can be used to control corporate image with followers
(the public) and to engage in digital marketing
30

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Proposition 1: The use of Web 2.0 applications can enhance vertical communication in organizations (with internal and external stakeholders), thereby establishing and strengthening corporate norms.
31

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Many different Web 2.0 applications can be used for different types of horizontal communication that involve
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Internal (peer-peer), e.g. problem solving, knowledge exchange, social interactions
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External (client-focused), such as e-sales & marketing, thought leadership, recruiting, brand management, after sales service.
32

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The use of Web 2.0 applications enhances horizontal communication for a variety of internal and external purposes related to

Internal communication: problem solving, knowledge exchange, social relationship development
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External communication: e-sales & marketing, thought leadership, recruiting, brand management, after sales service.
33

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A variety of external factors also influence communication practices
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Managerial scepticism
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Managerial concern for the potential for security breaches
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Corporate restrictions, requirements and culture
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Client preferences
34

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The effects of Web 2.0 applications on enhancing vertical and horizontal communication are contingent on a) management support and b) partner’s medium use, suggesting its moderating role in Web 2.0supported communication processes.
35

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Corporate norms can be communicated effectively through technology
Over time, these norms coalesce into a corporate culture
We saw evidence in particular of email, blogs and instant messengers
The outcomes include: corporate performance and consistency, team satisfaction and efficacy, individual productivity and efficacy
36

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The vertical communication of corporate norms exerts a positive influence on work-related processes at the corporate, team and individual levels
37

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A variety of work processes are facilitated by horizontal communication
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These work processes operate at individual (e.g. knowledge exchange), team (e.g. client interactions) and corporate (e.g. e-marketing) levels
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Outcomes cover productivity, satisfaction, profit and assurance of corporate values
38

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The engagement in such horizontal communication activities as knowledge exchange, digital marketing and social relationship building will exert a positive influence on work-related processes at the corporate, team and individual levels.
39

Web 2.0 & Organisational Communication
Model: Detailed Version
P1
Use of Web
2.0 Media:
IM, μblogs,
Wikis
Vertical Communication:
Establish and Maintain
Corporate Norms
P4
P3
P2
P5
Communication
Outcomes:
Individual, Team,
Organization
Organisational and
External Factors:
Mgt Support;
Medium Choices
Horizontal Communication:
Knowledge exchange; e-
Marketing; Social
Relationships; Problem
Solving; Thought Leadership
40

The Use of
Web 2.0
Applications for Work
H1
H2
Vertical
Communication
Company Norms
Horizontal
Communication
• Information
Exchange
• Social Relationship
Building
H3
Communication
Performance
• Individual
• Team
• Organization
H4
41


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H1: The use of Web 2.0 technology at work can enhance vertical communication, specifically for establishing company norms, across an organization.
H2: The use of Web 2.0 technology at work can enhance horizontal communication, including information sharing and social relationship building, across an organization.
H3: Vertical communication that is undertaken in order to support company norms contributes to individual performance (H3a), team performance (H3b) and organizational performance (H3c).
H4: Horizontal communication, covering information exchange and social relationship building, contributes to individual performance (H4a), team performance (H4b) and organizational performance (H4c).
42


We surveyed 3000 employees (from a 3 rd party database)



30RMB offered as an incentive
2873 people successfully contacted, 253 replies received (9%),
179 valid replies (6%) after cleaning
No sig diff between early and late responders
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We used existing items where possible, modified for the context

SPSS + Partial Least Squares
43

0.34 ***
Vertical
Communication
Company Norms
R
2
=12 %
0.07
0.18***
0. 17 *
The Use of Web
2.0 at Work
0.41 ***
0. 37 ***
Information
Exchange
Horizontal
Communication
R
2
=17 %
0. 64 ***
0.62 ***
0. 47 ***
0. 73 ***
Social Relationship
Building
44
Individual
Pe rformance
R
2
=46 %
Team
Performance
R
2
=54 %
Organizational
Performance
R
2
=34 %





What are the technological barriers to and enablers of vertical and horizontal communication?
How to balance the conflict between the need for
Management Support and Partner Preference for a particular medium?
What kind of investments are needed for Web 2.0 to add value at work? How can the ROI be measured?
What are the advantages of the CEF as an organising/analytical tool? How could the CEF be improved
45

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