PERF RMANCE 04 - The Performance Portal - Ernst & Young

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Case study Connection as competitive advantage: driving performance via community Leading organizations are investing in the connections between people, leveraging a strong foundation of management scholarship and leading practices to increase returns on these investments. New ways of doing things and perceptions of work can contribute to a new era of community value in an enterprise. Authors Loretta Lenzke is a Senior Manager in the Advisory Services, Ernst & Young, U.S Brad Kenney is a Manager in the Advisory Services, Ernst & Young, U.S Bill Dixon, PhD is a Client Engagement Leader in the EY Global Knowledge, Ernst & Young, U.S Colleen Powers is a Senior Advisor in the Advisory Services, Ernst & Young, U.S
Connection as competitive advantage If you polled 100 enterprise CEOs tomorrow, the overwhelming majority of these leaders would surely agree with the idea that “our people are our most valuable resource.” While people are truly an essential asset worthy of the huge organizational commitments to talent and recruiting seen in many leading enterprises, the full realization of this value largely depends upon the strength and diversity of connections that people have with each other. Even in the best of times, forging these connections is not easy. Many enterprises have aggressively globalized operations to build top-line growth and build or maintain market share around the world; simultaneously, many of these same firms have had to cut headcount aggressively in order to deal with capital constraints and bottom-line pressures brought on by the global financial crisis. The convergence of these two trends has left gaping holes in once-robust internal networks of colleagues — and these gaps have very real consequences in the form of missed market opportunities, deficiencies in organizational agility and innovation flows, regulatory compliance risks and operational inefficiencies from duplication of effort. In such an environment, it is no longer enough to invest in acquiring and developing talent simply; instead, it is organizations that skillfully invest in bridging the gaps between their people that will achieve and maintain high performance and secure competitive advantage. “ It is organizations that skillfully invest in bridging the gaps between their people that will achieve and maintain high performance and secure competitive advantage.” 37
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