Measuring Collaboration ROI

In most cases an overall objection to collaboration within organizations is not an issue, however, the where, when and how of implementing collaborative systems is.

Collaboration is an increasingly vital capability for organizations. But when companies just promote collaboration indiscriminately, without the proper culture and resources to support it they create information bottlenecks and actually diminish their organizational effectiveness.

In a 2006 edition of McKinsey Quarterly the article “Mapping the Value of Employee Collaboration” presented an in depth network analysis approach to determining where and how to introduce collaboration initiatives within an organization in a way that is not only effective but measurable against the bottom line.  Despite the article being nearly 8 years old, the issue of how to appropriately leverage collaboration mechanisms is as much a problem today – if not more.

The network approach presented in the article gives executives the information they need to foster collaboration at the points where it delivers an economic return – a key indicator required to allocate resources to collaborative efforts.

It would not do this article justice to attempt to summarize nor would it help you apply any of the methods within (for which you may want to hire a professional!). However, if as a leader you have been searching for a way to both justify and accurately allocate resources to collaboration systems in your organization it is highly recommended to read this article.