In today’s high-tech economy, this is not just about quant skills and R&D but also about how that confers competitive advantage. A new study connected LinkedIn corporations, among other firms, woven out of 2 billion employees’ relationships with 7.715 public US enterprises across 19 industries.
After researching the facts, it has been seen that companies’ real-world employee connections put them at the center of the professional communities and performed better than their peer companies. The study reinforces the entire value of human capital and knowledge sharing about professional social networks. An assistant professor at Harvard Business School says that this might have potential benefits to companies and not only to the individual.
The team obtained data with the cooperation of LinkedIn. The team analyzed links among over 9 million employees between 2004 and 2018. Based on analysis, the study found that manufacturing, finance, and information companies are the most highly connected with the 19 sectors evaluated.
While the manufacturing industry sits close to the center of the network, after thorough research, it has been found that companies like Alphabet, IBM, Oracle, Honeywell, and so on were among the most highly connected. They are also at the center of their professional domains. If there is any relationship between firms and the value they produce, then it means highlighting the importance of employee networks. As per analysis, it has been seen that companies become more central to the network by just one decile group.
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