Tuesday, September 20, 2005

Why are Online Networks growing now?

There is no question that the online networks are growing at present. Each day also brings more sites offering connections and community. Which got me thinking – what is the purpose of networks?

The answer, in my view, can be given in one word – SUPPORT.

But what sort of support? “ It could be information support, it could be physical support for your own well being, it could be emotional support, it could be financial support, it could be support in finding work, it could be support in dealing with the complexity of modern life or it could be support in building your own personal network of contacts. Maybe all of the above support mechanisms exist in networks simultaneously.
Support is the key driver in the purpose of networks particularly when so many of our members work from home. 60% of Ecademy members are small businesses and employ less than 100 staff. As more people work from home and for themselves (the Freeformers we talked about in previous blogs), this role will become more vital. It replaces the support that comes from the company network and, as families drift apart in Western society, it also replaces family support.

We all need the simple level of support that is having people around us in a group. This as we know is very important and becoming increasingly important in a frightened world. But there is more to it than fear. I think it has something to do with the growth in complexity. As the average age of Ecademy members is 46 there is also an element of mutual support in the face of a changing world where youth is valued over experience.

We have seen a fall in what Social Scientists call Social Capital or human connectedness. The traditional institutions of the government, of the civil service, of the local councils, of the politicians, of the churches, of the clergy, of the local community groups, of the general support infrastructure in our local communities have declined in value and status.

There are now over 1 million articles on Social Capital on Googleand over 300 books on the subject of Social Capital on Amazon all produced in the last 10 years. One of the best sellers of this genre is “Achieving Success through Social Capital” . by Wayne Baker and is a marvellous read. It is a personal favourite of Glenn Watkins our Chief Executive.

It might be technology and the media that has driven this decline in Social Capital over the past 40 years but most people would agree that the traditional role of institutions is weakening and people seek a solution.
Networks are providing a response to that decline in social capital and the need - in part - to replace it with something else.

Maybe Networks are themselves becoming an institution but the nature of that institution is still uncertain. Nevertheless, millions of people are joining a vast variety of networks all over the planet. Those networks are based around music and relationships (MySpace), College experiences (Alumni groups and TheFaceBook), and, of course, business (LinkedIn, Ecademy).

Has the Internet world - the wired world - of the last 10 years created a new economy? Has the promise of earlier computing generations finally been delivered allowing people to unite around a new economy and learn together?

Historically that would make sense. Networks are much like the Guilds of the past where apprentices of different industries got together to learn techniques of production and to share ideas and resources. In the Internet economy, we are all apprentices.

Dictionary definitions of Guild include “an association of persons of the same trade or pursuits, formed to protect mutual interests and maintain standards” and “a similar association, as of merchants or artisans, in medieval times.”

Technology also explains this growth for two opposing reasons. Technology is an enabler with the arrival of easy communications methods and worldwide access to bandwidth but it is also a problem. Technology has invaded every aspect of our lives and made them complex. As complexity increases and the growth and speed of new products increase, it becomes harder and harder to not only understand but also to keep up with this pace of delivery.

When you can’t keep up with something one of the best ways is joining a collective of people and learning things in groups just like in a classroom at school. Each month I learn a tremendous amount from the management team of Ecademy and the BlackStars with whom I personally spend private time. Without these group meetings I do not know how I could possibly keep abreast of market developments.”

A kind of ‘collective intelligence’ or ‘global mind’ is forming as output from these networks and it is very powerful, very appealing, very addictive mentally and very fast at finding answers to questions. We’ll cover this concept more in a future blog along with concepts like the ‘noosphere’ and the ‘memeosphere’.

Posted by Thomas Power.



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