Social software and strategy

Aligning interests, motivating contributions to knowledge work, and giving direction to multiple business units and market initiatives represent daily challenges facing the strategist in most companies. The diversity of contexts within an organization has thus led critical management thinkers to suggest that in the presence of multiple initiatives and discourses, the introduction of a new technology has multiple unintended consequences for organization. New technology is regularly subject to power struggles, conflicting goals, and discrepant events (Markus, 1983; Barley, 1986; Orlikowski, 1992; Ciborra, 1996; Leonardi, 2008) which impact on how strategies are shaped within organizations.

💡 Research Summary

The paper investigates how the introduction of social software—enterprise‑wide platforms for collaboration, knowledge sharing, and informal networking—affects strategic management in large, multi‑unit organizations. It begins by framing the everyday challenges faced by strategists: aligning the interests of diverse business units, motivating contributions to knowledge work, and providing a coherent direction across numerous market initiatives. Drawing on a rich body of literature (Markus 1983; Barley 1986; Orlikowski 1992; Ciborra 1996; Leonardi 2008), the authors argue that any new technology is embedded in power struggles, conflicting goals, and unforeseen events that can reshape strategy formation.

The theoretical foundation builds on the technology‑organization interaction model. Markus and Barley highlighted how information systems can reconfigure organizational structures and redistribute power. Orlikowski emphasized the socially constructed nature of technology, while Ciborra focused on the “messy” reality of information systems implementation. Leonardi’s concept of “technology as a social actor” is used to argue that social software does more than automate tasks; it actively participates in the creation of meanings, norms, and power relations.

To explore these ideas empirically, the authors conducted a qualitative case study of three multinational corporations that had recently rolled out enterprise social networks (ESNs) or similar collaboration tools. Data were collected through semi‑structured interviews with senior strategists, business‑unit managers, R&D leaders, and HR professionals, complemented by participant observation of ESN usage over a twelve‑month period. The analysis uncovered four interrelated themes:

1. Power Re‑distribution – The ESN flattened traditional information hierarchies. Front‑line employees and customer‑service agents began to surface real‑time market feedback directly to senior leadership, reducing the gate‑keeping role of middle managers. This shift altered who could influence strategic decisions and created new “information brokers” within informal networks.

2. Goal Alignment and Conflict – While sales and marketing units demanded rapid, data‑driven responses to market signals, R&D teams prioritized long‑term technology roadmaps. The shared platform facilitated cross‑unit visibility but also exposed divergent interpretation of the same data, leading to friction over metrics, prioritization, and access rights.

3. Unintended Structural Changes – Informal communities emerged that pre‑screened ideas before they entered formal strategy meetings, effectively streamlining decision processes. Conversely, some units used the ESN to develop parallel decision‑making pathways, creating pockets of strategic divergence that threatened overall coherence.

4. Cultural Re‑shaping – Transparency and perceived openness increased, boosting employee engagement and a sense of participation. However, the constant visibility also raised concerns about privacy, information overload, and the blurring of personal‑professional boundaries.

Based on these findings, the authors propose a three‑pronged managerial framework for strategists deploying social software:

• Map Power Relations – Prior to rollout, identify existing information control points and simulate how the new platform might shift influence. This helps anticipate resistance and design governance structures that balance openness with necessary authority.

• Design Goal‑Alignment Mechanisms – Establish clear data‑interpretation standards, role‑based access controls, and joint performance metrics that reconcile short‑term market responsiveness with long‑term innovation objectives.

• Implement Continuous Feedback Loops – Use the ESN itself to collect user experience data, monitor cultural shifts, and adjust policies in real time. Regular “pulse” surveys and analytics dashboards enable the organization to detect emerging conflicts early.

The paper concludes that social software can be a powerful catalyst for strategic agility when its socio‑technical implications are deliberately managed. By recognizing the technology’s capacity to reconfigure power, generate both alignment and tension, and reshape organizational culture, strategists can harness its benefits while mitigating unintended negative consequences.