Exploring the Use of Enterprise 2.0 and Its Impact on Social Capital within a Large Organisation

Despite the rampant adoption of Enterprise 2.0, there is lack of empirical evidence of how Enterprise 2.0 is aptly supporting the business objectives. Social capital theory will be used as a theoretical lens to understand the impact and implications of individual use of Enterprise 2.0. To ascertain the impact from the use of Enterprise 2.0 on the various dimensions of social capital, a single in-depth qualitative case study was conducted with a large professional services organisation. The findings unfold the different areas of impacts based on actual individual use and experience. The research concludes with a framework delineating the intertwined relationship between each social capital dimensions.

💡 Research Summary

The paper investigates how the adoption of Enterprise 2.0 – internal social networking platforms such as corporate blogs, wikis, and micro‑blogging tools – influences the three dimensions of social capital within a large professional services firm. While many organizations tout Enterprise 2.0 as a catalyst for collaboration, knowledge sharing and innovation, empirical evidence linking its use to concrete business outcomes remains scarce. To fill this gap, the authors employ social capital theory as a lens, focusing on structural (network connections), cognitive (shared meanings and goals) and relational (trust and reciprocity) aspects.

A single‑case qualitative design was chosen. Thirty employees from diverse functions and seniority levels were interviewed in depth, and their activity logs on the firm’s Enterprise 2.0 platform were observed over several months. The researchers coded the transcripts inductively, then mapped the emergent themes onto the three social‑capital dimensions, allowing both deductive validation and discovery of novel patterns.

Findings reveal that Enterprise 2.0 reshapes structural capital by breaking down formal departmental boundaries. Search functions, hashtags, and group spaces enable users to locate expertise quickly and to forge informal ties that would otherwise be unlikely. This expanded network reduces information asymmetry and creates new pathways for cross‑functional collaboration.

On the cognitive front, the platform serves as a storytelling arena where employees post project anecdotes, lessons learned, and best‑practice tips. These narratives generate a shared vocabulary and a common understanding of organizational objectives, thereby aligning individual work with broader strategic goals.

Relational capital benefits from the platform’s low‑cost, frequent interaction mechanisms – “likes”, comments, and emojis – which foster a culture of acknowledgement and mutual support. Regular feedback loops and informal praise encourage reciprocity, strengthen interpersonal trust, and increase willingness to cooperate on future tasks.

The study also uncovers constraints. Variations in digital literacy and personal motivation lead to uneven participation, creating pockets where social capital does not accrue. Concerns about over‑exposure of information raise privacy anxieties that can suppress engagement. Moreover, without explicit managerial endorsement and clear governance policies, the platform’s potential remains under‑utilised.

Synthesising these insights, the authors propose an integrated framework that depicts structural, cognitive, and relational capital as inter‑dependent and simultaneously influenced by enabling and inhibiting factors. They argue that maximizing Enterprise 2.0’s contribution to social capital requires a triad of interventions: targeted training to raise user competence, robust privacy and data‑governance policies to alleviate concerns, and visible leadership support that embeds the platform into everyday work routines.

In conclusion, Enterprise 2.0 holds significant promise as a lever for building organizational social capital, but its effectiveness hinges on complementary cultural, managerial, and technical measures. When these conditions are met, the platform can enhance network connectivity, shared meaning, and trust, thereby aligning employee collaboration with strategic business objectives.