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I'm very happy about the book review I got from Computer Wold.  My book (The Social Factor)  was ranked one of the 5 must-read books on the subject of Social Networking.

This is the full article " 5 must-read books on Social Networking " 

People will be People - Organizational Leadership in the Social Age, Part V

People will be People

Have core leadership skills changed since the end of the last century? Do leadership skills that worked in 1909 still work in 2009, in what I call the Social Age?

Perhaps it seems strange to say, but I found part of the answer to these questions when I visited the Guggenheim Museum this weekend. Here in New York, it seems everyone is involved in some aspect of the art trade. Perhaps you love art. Or maybe you take great pride in hating it, but by some miracle you are moved by a particular artist. For example, I was admiring Vasily Kandinsky’s work (1866, Moscow - 1944, France), and I wondered how he was able to influence others and how others influenced him. In some ways the things I discovered about Kadinsky help to answer the question about leadership skills from one century to another.

Kandinsky dedicated his life to transforming the arts. His leadership created one of the most intriguing and precise works of art, which brought the concept of abstract art to new levels.  Kandisky’s abstract work, with its seemingly nonchalant composition, required an incredible effort and painstaking planning. The result was an alluring freedom of expression that even today fascinates its viewers.

However, leaders like Kandisky didn’t work in isolation. His friendship with Joan Miró (1893 - 1983) greatly influenced his work in surrealism.  But Miró also knew Pablo Picasso (1881 – 1973), who influenced current artists with the Cubism movement he started. But Picasso was also friends with Antonio Gaudí (1852–1926), who shared with Picasso his passion and joy for the Catalan way of life.  Gaudi’s leadership revolutionized architecture with new modern and individualistic designs.

Does this sound familiar?  Leadership is an organic process that grows from knowledge exchanges, relationships, and contact with other great leaders. Barcelona and Paris were hubs of great art inspiration in the early 20^th century. Artistic knowledge and ideas were freely exchanged. Today this process of tacit knowledge exchange is sometimes called “local knowledge spillovers.”

Kandisky’ leadership depended on a network of other leaders that shared his passion for art. This network, combined with an environment that facilitated knowledge transfer, were key to his success.

Today we find a lot of economic evidence about the power of social networks, and about which environments best facilitate knowledge transfers. For example, we see the way leadership around technology innovation seems to happen more frequently in Silicon Valley and in cities like New York and Boston. If venture capital investments are any gauge, money tends to be attracted to these knowledge centers, where a vast network of innovators shares their passion to build new companies.

Social networking is just as important in the 21^st century as it was at the turn of the 20^th century, when Kandisky was having coffee with Miró in Las Ramblas in Barcelona. Today, armed with a collection of electronic social networking and collaboration tools, we can become more effective than ever. Now we can use these tools to reach out to millions of people. Without leaving the comfort of our homes we can efficiently collect knowledge, and influence and touch others with our thoughts.

Perhaps most importantly we can organize communities that span the entire globe, allowing those communities to focus on problems affecting our wider society.   

Leadership today is measured by the extent to which we are able to utilize these new electronic networking channels.  Effective leadership in the social age is as dependent on people as ever. But now leaders need to embrace social networking tools like Facebook, LinkedIn, Twitter, YouTube, blogs and many others to carefully brand themselves and their products.

Finally, always keep in mind that the social networking conversation goes both ways. People buy the goods and services that reflect their values and wants. Good leaders realize that to win they need to be responsive to what they’re hearing from their customers, and make changes based on feedback they receive from their communities.

Honesty - Organizational Leadership in the Social Age, Part III

Honesty

Nobody likes to do business with a person they can’t trust, and make no mistake—your reputation, whether good or bad, will follow you in the age of blogs, Twitter and electronic social networking tools.  Be honest in all your transactions and create deals that are good for your partners as well as for you.  You may think you’re getting away with something in a particular transaction, but with so much information available on the internet, eventually any dishonesty on your part will be exposed, and possibly broadcast for all the world to see. This is a good reminder that honesty in business isn’t something we do because we’re afraid we’ll get caught; instead, honesty in business is just the right thing to do.

I read a contract recently, for example, about a transaction I was about to complete with a vendor. Because I knew something about the vendor’s technology, and the way it would operate in my environment, I realized I could take advantage of the vendor to my own benefit, based on the way the contract was written.

I had a choice—I could take advantage of what I knew to be a vendor mistake, which would probably lead to a damaged relationship, if not a legal battle. Or, I could point out the mistake to the vendor, avoid legal troubles, and preserve the relationship. Anyone could find information through a Google search that perhaps would have revealed the facts to this vendor, but that wasn’t the reason I decided to discuss my concerns with the vendor.   My primary motivation was to preserve the business relationship with this vendor as well as create a long-term partnership.  They were grateful that I pointed out the problem and realized they had a partner that they could trust.   Honesty is essential and more important than ever before to achieve successful business relationships in the Social Age.

In some ways, that type of decision is a good test of leadership. Great leaders look for long term gain, even if it means giving up a temporary advantage. The short-term advantage, when it is gained through dishonesty or deception, always leads to long term pain.

Creating a good relationship with vendors and suppliers is one measure of great leadership.  The vendor I mentioned above had no way to know the capabilities of the cloud technology I was using, which would allow me to take advantage of them. They were amazed and extremely grateful when I disclosed this information to give them a better reference point to create a new pricing structure.

You can’t measure the ROI of honesty; but needless to say this company calls me frequently. Many of the deals we’ve worked on together happened because of the mutual respect, and honesty that is the mark of our relationship.

Focus on People -- Organizational Leadership in the Social Age, Part II

 Focus on people 

We’ve all heard that in highly effective organizations the whole is greater than the sum of the parts. Everyone has good ideas, but real creativity often occurs when passionate minds collaborate around a concept or project.  Social networking tools offer the fantastic opportunity to connect people who share a common passion and vision.   Increased social networking activities accelerate the process required to create new concepts and wiliness to chare new ideas.  The more you share, the more you’ll receive in return, so be sure to be generous when you use these powerful communication tools!

As a business leader you face challenges that may seem impossible to solve. But with an active social network in which you’ve generously offered your own skills and experience, others will be more than willing to offer suggestions to help with your challenge. The more ideas and experience you share with other leaders, the more you will receive in return.

This renewed focus on people is a defensive skill as well. By that I mean that in a socially networked world, employees find new jobs much more easily than in years past. Use social networking tools to help find the best people with the best skills for your business and then treat them very well—if you don’t, your competitor may use those same tools to steal them away. Your people are one of your greatest competitive assets—be sure to treat them that way!

Likewise, connect with others via social networking tools to create a strong community of followers for your product and services.  Empower your community using a social networking tool that can collect input on new features and functions.  In the social age your social networking community should be viewed as an integral part of your business process. Pay attention to your community of customers and potential customers to create the product everyone will want.

In the my next post, I’ll explore the renewed importance of honesty and transparency for the business leader in the social age where instantaneous news and performance appraisals are available everywhere via blogs and social tools .

Organizational Leadership in the Social Age, Introduction

Communication methods and styles in our socially networked world have changed. To remain effective, leadership methods and styles must change as well. Most business leaders use instant messaging to be more efficient, and some have embraced social networking tools like wikis and blogs to powerfully influence large communities. But in many ways, a socially networked world calls for an overall re-assessment of leadership skills and values.

In a series of blog posts, I’ll be highlighting ways in which traditional leadership skills and values are being reshaped in this changing world. For the business leader I’ve identified three primary skills and values that are most affected by social networking: 1) a renewed focus on people; 2) a renewed commitment to honesty and transparency; and 3) increased risk-taking, or, to put it another way, decreased risk aversion.

This last point is perhaps the most powerful and least obvious advantage offered by social networking. In my role as Vice President of Technology and Innovation at IBM I saw first hand that social networking tools were able to quickly and efficiently bring together the best minds around an idea or project. This highly efficient innovation environment significantly reduced the risk normally associated with R&D. Communities around the world can help fine-tune a product or service lowering the R&D cost. In The Social Factor I suggested that this changing risk profile presents a great opportunity for businesses and individuals. The business leader is now free to consider greater investments in R&D as a way to gain a competitive advantage, but without increased risk.

In the next blog post, I’ll explore the ways social networking has led to a renewed focus on people, and their ability to uniquely contribute to the organization. The business leader can leverage this new emphasis to motivate employees to deliver better products faster, and have fun doing it!