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Social Network Analysis: Who is Promoting Net Promoter? Custom Case Solution & Analysis
1. Evidence Brief
Financial Metrics
- Cost of Net Promoter Score - NPS - implementation: Not explicitly stated, though resource allocation includes internal management time and external SNA consultancy fees.
- Customer Retention Value: Case implies a 5 percent increase in retention correlates with significant profit growth, though specific dollar amounts are absent.
- Survey Response Rate: 85 percent of the 120 targeted employees participated in the social network survey.
Operational Facts
- Organization Size: 120 employees across three primary departments: Sales, Product Development, and Customer Support.
- SNA Metrics: Analysis focused on three specific indicators: Degree Centrality - direct connections -, Betweenness Centrality - information gatekeeping -, and Closeness Centrality - proximity to all others.
- Geography: Single headquarters location with remote sales teams.
- Communication Flow: Informal networks show significant silos between Product Development and Sales, despite formal reporting lines suggesting integration.
Stakeholder Positions
- CEO: Primary sponsor of the NPS initiative. Views NPS as the central metric for future growth.
- Head of Customer Support: High formal authority but moderate informal influence. Strong supporter of the change.
- Senior Developer - Anonymous in data -: Highest betweenness centrality. Currently skeptical of NPS. This individual acts as a bottleneck for information flow to the Product team.
- Sales Lead: High degree centrality. Publicly supports NPS but privately expresses concerns about compensation alignment.
Information Gaps
- Individual Compensation Structures: The case does not detail how bonuses are currently calculated, which impacts NPS adoption.
- Historical Change Success Rate: No data on previous failed or successful initiatives to benchmark current resistance.
- Customer Feedback Data: While the case focuses on internal promotion of NPS, it lacks the actual customer sentiment data that triggered the initiative.
2. Strategic Analysis
Core Strategic Question
- How can the organization identify and convert informal influencers to prevent the NPS initiative from stalling in departmental silos?
Structural Analysis
The Social Network Analysis reveals a disconnect between the formal hierarchy and the actual flow of influence. While the CEO mandates NPS, the information gatekeepers - those with high betweenness centrality - are not aligned. This creates a structural blockage. The Product Development team operates as a closed network, largely insulated from the customer-centric goals of the Sales and Support teams. Without bridging these cliques, NPS remains a departmental metric rather than an organizational philosophy.
Strategic Options
| Option | Rationale | Trade-offs | Resources |
|---|---|---|---|
| Targeted Influencer Conversion | Focus resources on the top 5 informal leaders identified via SNA. | High impact if successful; risks alienating formal managers. | Executive coaching; 1-on-1 time. |
| Cross-Functional Bridge Teams | Create task forces using high-closeness individuals to link silos. | Improves information flow; slows down immediate decision making. | Operational budget for pilot projects. |
| Incentive Realignment | Tie compensation directly to NPS across all departments. | Forces alignment; may cause short-term turnover in Product. | HR and Finance restructuring. |